If you are over 40 and work at Microsoft, anonymous insiders suggest your job may be at greater risk than your younger colleagues when the tech giant implements redundancies later this month.
Rumours of impending layoffs have circulated among the company's workforce, with estimates suggesting between 11,000 and 22,000 roles could be cut globally, according to reports from TipRanks. This would represent roughly 5% to 10% of Microsoft's approximately 220,000 employees. The cuts are expected during the third week of January, with 21 January emerging as a likely date, based on an anonymous post on Blind, the verified workplace forum.
What has alarmed many veteran employees, however, is a specific warning buried in that 30 December 2025 post.
'Hate to say it but they will disproportionately target employees over 40,' the anonymous insider wrote. 'They will find some legal cover or excuse for this.'
Microsoft has not officially confirmed any layoffs scheduled for January.
Why Older Workers Feel Vulnerable
This concern reflects broader restructuring strategies that seem to prioritise roles related to artificial intelligence development, while simultaneously phasing out middle management layers and legacy product teams—positions often held by longer-tenured staff.
CEO Satya Nadella has repeatedly described Microsoft's size as a 'massive disadvantage' in the AI race, according to The HR Digest. In December 2025, he indicated that the company would pursue further 'optimisations' to accelerate progress and compete more effectively, the publication reported.
The Blind post corroborates this direction, stating that leadership aims to 'reduce the number of middle managers and increase IC ratios.' The insider added that such 'org flattening' would become 'a yearly undertaking into 2027.'
TipRanks analysts believe Microsoft is reallocating funds from payroll into long-term technology assets. As a result, 'middle managers and older product teams may face a higher risk,' the report noted, while 'roles tied to AI research and core cloud work are seen as more stable.'
The Return-to-Office Factor
Adding to workforce anxiety is Microsoft's stricter return-to-office policy, set to take effect on 23 February 2026. Employees residing within 50 miles of an office will be required to work on-site at least three days per week.
Some staff view this mandate as a deliberate strategy to encourage resignations without incurring formal severance costs.
'There's a growing sense that the RTO mandate isn't about collaboration,' an Azure Cloud Operations engineer told The HR Digest. 'They know that if they force everyone back to the office, a certain percentage will choose to leave on their own.'
For older employees with established family commitments, childcare responsibilities, or health considerations, such policies may prove particularly burdensome.
A Profitable Company Still Cutting Jobs
What makes the situation particularly frustrating for affected workers is Microsoft's financial strength. The company reported nearly $75 billion (£56 billion) in net income over recent quarters, TipRanks reported. Capital expenditure reached $34.9 billion (£26 billion) in the first quarter of fiscal 2026 alone, with total annual spending expected to surpass $80 billion (£59 billion), the publication noted.
Most of this investment is flowing into data centres, AI chips, and machine learning infrastructure. This follows a challenging 2025, during which Microsoft cut more than 15,000 jobs across several rounds—including approximately 6,000 in May and 9,000 in July, according to TipRanks.
These cuts occurred despite strong revenue and profit figures, raising questions about whether job security at profitable tech companies has fundamentally changed.
What This Means for You
If you are a Microsoft employee approaching or over 40, the Blind post offered straightforward advice: 'You cannot control what happens to you but you can be mentally and financially prepared for it.'
The anonymous insider recommended saving aggressively, investing in upskilling, and refreshing professional networks immediately.
Azure, Xbox gaming, and global sales teams have been identified as key areas of focus for potential cuts. The HR Digest reported that 'non-core or overlapping roles rather than frontline AI developers' are most likely to be affected.
For older tech workers across the industry observing these developments, the pattern is becoming increasingly difficult to ignore. In the AI era, decades of experience may no longer guarantee the job security it once did.
