Microsoft puts 60,000 jobs at risk worldwide as tech giant ploughs billions into AI

In 2025 Microsoft said it would invest £22 billion to help fund an expansion in Britain’s AI infrastructure between 2025 and 2028

UK workers are among around 60,000 Microsoft staff being offered buyouts to leave the firm.

The tech giant opened the voluntary exit offer to staff in the UK, Canada, India and the United States. Microsoft, which employs more than 5,000 people in the UK, has not said how many workers in the country are eligible.

But it confirmed that 60,000 members of staff worldwide can apply for the offer. Chief people officer Amy Coleman said in a blog post on Monday that the move was “new” for the firm, adding: “We’ll learn from it.”

She wrote: “This offer gives eligible employees who may be considering a future outside the company a new choice to make that transition now with support. It also gives participating organisations another way to adapt their workforce to changing needs.”

In July, Microsoft announced 4,800 job cuts worldwide, with its Xbox gaming arm among those hit. It comes as the firm ramps up its AI capabilities. In 2024, Microsoft launched a new class of AI-imbued personal computers that centred on fusing its AI assistant, called Copilot, into the Windows operating system for PCs.

The following year, the firm said it would invest £22 billion to help fund an expansion in Britain’s AI infrastructure between 2025 and 2028.

Part of the investment plan included support for UK start-up Nscale’s proposed data centre in Loughton, Essex. But last week, Microsoft confirmed that it had pulled out of a deal to lease computing capacity after concerns that the site will not have access to the power grid until after 2030.

Darren Hardman, chief executive of Microsoft UK and Ireland, told the Press Association that the group’s UK investment plan “will not change” despite the decision. He said: “When you look at the 30 billion dollar investment between 2025 and 2028, it is a small component of that.We are still fully committed to that investment package.”

Mr Hardman stressed that the firm is also still “committed” to its relationship with Nscale, with plans to work with the data centre on a number of sites outside of the UK. The boss also told PA that he has held positive discussions with Prime Minister Andy Burnham about potential opportunities linked to AI since he was appointed to the role this summer.

Mr Hardman pointed to Manchester as a positive example of an area of the UK where AI adoption is rapidly growing and helping to support economic growth prospects.

Microsoft is due to reveal its latest financial results on Wednesday.