Google Broadens Voluntary Buyout Program in Additional Countries as AI Costs Rise

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Google is extending its voluntary buyout program to selected workers in five additional countries as it seeks ways to manage expenses while directing substantial resources into artificial intelligence.

The company told Reuters that select workers in Canada, France, Germany, Japan and Switzerland were offered buyouts beginning in June, although the number of employees who accepted was not disclosed.

“In 2025, some of our teams introduced a voluntary exit program with severance,” a Google spokesperson said in a statement provided to Reuters. “This past summer, in June, we expanded this program globally in a few countries to support our important work ahead.”

Google has expanded employee buyout offers to multiple countries this year. (Tayfun Coskun/Anadolu via Getty Images / Getty Images)

The buyouts come as Google’s heavy AI spending has worried investors and weighed on parent company Alphabet’s stock price.

Alphabet’s workforce has continued to grow in recent quarters, but the company wants to reallocate resources toward areas it views as higher priorities.

While the company has continued to prioritize hiring in AI and cloud computing, its voluntary buyout programs suggest an effort to move resources away from areas considered less vital to its future strategy.

The latest round builds on similar incentives Google introduced last year for workers in select teams in the U.S. and Britain. Company leaders said the program gives employees who are uncomfortable with Google’s future direction an opportunity to leave with severance.

The company began offering voluntary exit packages in June to some employees in Canada, France, Germany, Japan and Switzerland. (Raymond Boyd/Getty Images / Getty Images)

At least one division at the search engine company later moved to involuntary job cuts after first offering workers buyouts.

On recent earnings calls, Google Chief Financial Officer Anat Ashkenazi said the company would continue adding workers in AI and cloud, which she described as key areas for investment and growth.

“We also expect to continue hiring in key investment areas such as AI and Cloud, and we are investing in marketing to support our AI products,” Ashkenazi said on the company’s July 22 earnings call.

Earlier buyout programs did not extend to employees working in Google’s cloud business or its DeepMind AI research unit.

In Switzerland, Google announced exit packages in mid-June and notified applicants of its decisions by mid-July, three people familiar with the matter told Reuters. Employees who accepted the offer received one month of pay for every year they had worked at Google, with total severance capped at 12 months.

Other companies have also made similar offers to their workforce amid efforts to mitigate costs.

Last week, Microsoft offered voluntary buyouts to 60,000 employees.

The program sought to help Microsoft contain costs and finance its massive AI investments. The offer covered divisions including AI experiences, Copilot, finance, human resources, Xbox and Windows + Devices, while marketing, commercial business and security teams were excluded.

Microsoft Chief People Officer Amy Coleman said the program would give eligible employees considering a future outside the company an opportunity to make the transition with financial support.

Google’s and Microsoft’s buyout offers underscore the financial pressure facing Big Tech companies racing to build AI capabilities. Spending on data centers, advanced chips and computing infrastructure is surging as investors question how quickly those investments will generate sustainable returns.

Reuters contributed to this report.

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