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Microsoft is the first company to declare its first voluntary retirement program, and the company has offered the buyouts to approximately 8,750 US employees, which is about 7 percent of its 125,000-strong American workforce. Financial packages and extended healthcare benefits will be granted to eligible workers, usually at the senior director level and those whose total age and years of service add up to 70 years or more.

The one-time program is at a time when the tech giant is investing billions into AI infrastructure and trying to control expenses. Notifications will be made to the employees beginning May 7, and they will have 30 days to make decisions. There are no limitations to prospective employment.

It is a gentler way to deal with previously held layoffs and a more standstill way to retire old employees to pave the AI-only way as Microsoft transforms its workforce. The show has been the talk of the tech industry.