Overview
- Microsoft announced the cuts on Monday, eliminating about 4,800 roles or roughly 2.1% of its global workforce as part of a company restructuring.
- Eligible U.S. employees will remain on payroll for at least 60 days and can receive additional severance capped at 39 weeks of base pay for most staff.
- Severance is tiered by internal level: levels 64 and below get one week per six months of service, levels 65–67 get two weeks per six months, and executives follow a separate program.
- Many affected workers at levels 67 and below will continue to vest stock for six or 12 months and receive six months of company‑paid health insurance plus up to 12 months of optional COBRA.
- The cuts are concentrated in sales and the Xbox gaming group, where Xbox plans to reduce staff by about 20%, and the package resembles Microsoft’s earlier voluntary retirement offers while standing out as more generous than several recent big‑tech severance plans.