economy
May 6, 2026
Here’s what Microsoft is offering long-serving employees to voluntarily retire
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TL;DR
- Microsoft offers a voluntary retirement package to US employees meeting an age + service years threshold of 70.
- The package includes five years of subsidized healthcare, cash severance based on level and tenure, and accelerated stock option vesting.
- Healthcare is fully subsidized for the first year, with premiums paid by the employee for the subsequent four years.
- Cash severance is calculated as a base pay per six months of service, up to 39 weeks.
- Stock option vesting extends to 12 months for those with 24+ years of service.
- Around 8,750 employees, or 7% of the US workforce, are eligible.
- Employees have 30 days to accept the offer.
- Microsoft anticipates a $900 million charge for this one-time program.