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Microsoft Corp. (MSFT) announced on Tuesday that its employees will soon be required to return to the office three days a week, with the new policy set to roll out in phases.
In a memo to employees, Microsoft’s Chief People Officer, Amy Coleman, noted the changes in work culture brought about by the COVID-19 pandemic, but observed that building products in the AI era requires people to work together in person more frequently.
Microsoft’s shares were up 0.13% in Tuesday’s midday trade. Retail sentiment on Stocktwits around the company trended in the ‘bullish’ territory.
“We’ve looked at how our teams work best, and the data is clear: when people work together in person more often, they thrive—they are more energized, empowered, and they deliver stronger results. As we build the AI products that will define this era, we need the kind of energy and momentum that comes from smart people working side by side,” Coleman said in the memo.
Microsoft will roll out this back-to-office policy in three phases, starting with its Puget Sound employees in Seattle. Among these employees, those who live within 50 miles of a Microsoft office will have to work out of the office three days a week by the end of February 2026.
The company will then expand this requirement to other Microsoft offices in the U.S.. Eventually, the policy will be rolled out internationally, Coleman explained in the memo, while clarifying that this is not about reducing the headcount at the software giant.
MSFT stock is up 18% year-to-date and 23% over the past 12 months.
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