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Microsoft has offered voluntary retirement buyouts to a portion of its US workforce for the first time in its 51-year history, in a move that would allow the company to reduce headcount without resorting to compulsory redundancies. According to an internal memo reported by CNBC and Bloomberg, employees are eligible for the programme if the sum of their age and years of service at Microsoft totals 70 or more. Under that formula, a 52-year-old employee with 18 years at the company would qualify.

With an estimated 125,000 US employees as of last June, the buyout programme could affect up to 7% of that workforce, equating to approximately 8,750 people. The voluntary redundancy programme follows several rounds of compulsory job cuts in recent years, including the loss of 9,000 roles last summer. By offering a buyout, Microsoft can reduce its US headcount without the reputational and operational disruption that accompanies mass layoffs.