The offer covers eligible employees in the United States, Canada, India and the United Kingdom, at level 70 and below. Reports on the severance terms specify levels up to 68, and the sources do not reconcile the two. Only participating teams are included, with eligibility set by each business's priorities, customer commitments and workforce needs. Some teams in Xbox, Windows and Copilot are in. Sales organizations and some engineering and corporate functions are out. Eligible employees receive an email with the details, and they can decline and stay.

Coleman called it a "time-limited, voluntary program" meant to "create greater flexibility" and help employees "shape their next chapter," with financial support and career planning resources. She said participation varies by business unit. In a statement, Microsoft said it wants to "keep helping people focus on the work that matters most, build new skills and, where it makes sense, find new opportunities across Microsoft."

According to one report, the initiative is meant to reduce headcount without further involuntary layoffs. Microsoft has not guaranteed job security for those who decline, and it is unclear whether they will face future layoffs. The company has not said how many employees it expects to accept. One outlet reports that Microsoft expects participation to be lower than in its earlier voluntary retirement program.

The terms, as reviewed by Business Insider and cited by several outlets, mirror Microsoft's standard severance. That means a minimum of 60 days of base pay, potentially extending to 39 weeks depending on seniority and tenure. Levels 64 and below receive one week of base pay for every six months of service, and levels 65 to 67 receive two weeks. Standard severance is capped at 39 weeks for levels 67 and below, while level 68 employees are offered the equivalent of 12 months of salary. Packages also include continued stock vesting for six or 12 months, depending on tenure, and health insurance. One outlet says the full terms have not been published and that reporting indicates the package is comparable to standard severance.

The earlier voluntary retirement program this year made about 8,750 US employees eligible, about 7% of the US workforce. Accounts of how many took it differ. Business Insider says about 9,000 people left, with one-third of those eligible accepting. Other reports put acceptance at about 30% or just over it. The accounts also disagree on timing, placing the program in April or in June.

One report also says Microsoft announced a cut of 4,800 jobs in July, about 2.1% of its global workforce, including many workers in its Xbox business. Microsoft reports quarterly financial results on Wednesday.