After laying off 15,000 employees in the past year, Microsoft is implementing an unprecedented shift in its 51-year history. According to CNBC, the company is offering for the first time a voluntary severance plan targeting 7% of its U.S. workforce. The condition is that the sum of the employee's age and years of service must be 70 or greater.
The 70 rule as an exit filter in cloud and AI 🔄
The selection criterion, known internally as the 70 rule, targets profiles with long careers. In a sector where cloud computing and artificial intelligence demand constant retraining, this formula allows cost reduction without resorting to forced layoffs. Affected employees typically hold established roles but with higher salaries. The measure aims to refresh the workforce with younger talent aligned with current business priorities.
Goodbye with a bonus: the plan to make you leave amicably 💼
The move is clear: instead of firing veterans, Microsoft rolls out a red carpet toward the exit. With the 70 rule, the company ensures that those who leave are the ones with the longest tenure, not the ones who make the most noise. It's like saying: take your decades of experience elsewhere, but with a check in hand. So, everyone is happy: they retire earlier and Microsoft saves on high salaries.