Uncertainty in the workplace remains unnoticed by an employee until the company notifies them via message or email. Receiving a termination letter immediately upon waking up raises serious career concerns. However, companies are developing increasingly new methods of downsizing.
These methods can take the form of an early morning termination notice, a decision made during an appraisal, or an HR offer of a financial package in exchange for leaving the job. In some cases, the employee has the right to choose to leave, while in others, the company makes the decision independently.
Microsoft offered around 60,000 eligible employees in India, the US, the UK, and Canada the option of a voluntary buyout. Through this program, employees can leave the company while receiving financial support. This step was taken during a period when Microsoft is actively investing in artificial intelligence infrastructure and adapting its workforce to business needs.
A question people often ask is whether all 60,000 employees will be laid off. The answer is no. A voluntary departure differs from a forced reduction. Nevertheless, this offer reignites familiar workplace anxiety: what happens when a company decides it needs a different workforce composition?
Downsizing can take various forms—from early morning termination letters and buyouts to performance-related reductions and major organizational changes. Each reduction has its own solutions, uncertainties, and consequences for the people involved. It is necessary to understand four aspects of layoffs that every employee should know.
A reduction does not mean the company suddenly fires employees. Sometimes it offers them the chance to leave by providing a financial package. Other steps are taken under the guise of a performance review or organizational transformation. Recent events in the tech sector show that layoff methods are diverse, and each situation presents unique challenges for employees.
Different forms of downsizing include Microsoft's voluntary departure offers, termination letters received by Oracle employees early in the morning, potential layoffs following performance reviews at Qualcomm, and changes within Adidas' technology division. Therefore, it is crucial for employees to understand the differences between all these situations and how they might affect their careers.
Microsoft offered a voluntary exit proposal to its eligible employees in 2026. Under this program, employees meeting criteria in certain internal levels 70 or below, in selected departments of the company, were offered the opportunity to leave in exchange for financial assistance. This offer applies to certain organizations in India, the US, the UK, and Canada, but not all Microsoft employees are candidates. This is significantly different from standard company layoffs. With a buyout, the employee gets the option to leave under contract terms, whereas in a forced layoff, the company itself decides on the end of employment.
Before accepting such an offer, an employee should carefully consider several points. These include the size of the package, the likelihood of finding new employment, health insurance, future financial needs, and the time required to find a new position. Receiving a financial package does not guarantee that the decision to leave will be easy.
Furthermore, some employees are suddenly informed of a company reduction. In Oracle's case in September 2026, some employees were sent an email early in the morning notifying them of the termination of their positions due to company changes. The company also provided information about the last working day in the letter. The company did not disclose the total number of affected employees to the public during this period.
In such a situation, an employee may face many questions after being let go. They need to find out the severance pay amount, when the debt payment will be made, when access to company systems will be closed, and how to start looking for a new job.
The main difference between a buyout and such a termination notice is that with a buyout, the employee may have a choice, whereas with receiving a termination letter, the decision to end employment has already been made by the company.
There is also a form of reduction that takes into account employee performance evaluations. Reports have emerged regarding global job cuts at Qualcomm following the annual employee review in 2026. According to reports, CEO Cristiano Amon spoke about the need to strengthen a culture of performance and attention to areas that consistently fail to meet expectations. The company has not disclosed the number of positions that will be affected by the proposed reduction.
However, it is important to understand that a performance-based reduction and general organizational changes are not the same thing. In organizational changes, an employee's position may be eliminated even if their performance was high. Whereas in performance-based decisions, the employee...
