Hello @IniobongNkanga-8038,
Thank you for posting your query on Microsoft Q&A.
The issue you're encountering is related to group-based licensing in Microsoft 365. When licenses are assigned through a group, they cannot be unassigned individually from users. Instead, the licensing changes must be managed at the group level. Here’s a step-by-step guide to address your issue:
Managing Group-Based Licensing
- Navigate to the Microsoft Entra Portal:
- Go to the Microsoft Entra Admin Center.
- Access Licenses:
- In the left-hand menu, select "Identity".
- Under "Billing", select "Licenses".
- Check Group-Based Licensing:
- Select "All products".
- Click on the specific license (e.g., "Microsoft Project Plan 3") to see its details.
- Under the license details, click on "Licensed groups" to see which groups have this license assigned.
- Modify Group Licenses:
- Identify the group that has the license assignment.
- If you need to remove the license from specific users, you can:
- Remove the users from the group that has the license assigned.
- Or, remove the license from the entire group (if it is appropriate for your organization).
- Direct License Assignment:
- If the users need the license and were supposed to have it directly assigned:
- Remove them from the group with the inherited license.
- Reassign the license directly to the users through the Microsoft 365 Admin Center:
- Go to the Microsoft 365 Admin Center.
- Navigate to "Users" > "Active users".
- Select the user(s) and assign the license directly.
- If the users need the license and were supposed to have it directly assigned:
Removing Users from a Group
- Access the Group:
- In the Microsoft Entra Admin Center, go to "Groups".
- Find the group with the license assigned.
- Edit Group Membership:
- Click on the group.
- Under "Members", manage the membership to remove users as needed.
Notes:
- When licenses are inherited from a group, you must manage these licenses from the group level.
- Directly assigned licenses and inherited licenses can coexist, but inherited licenses take precedence, preventing direct license removal until the group license is modified.
By following these steps, you should be able to manage and resolve the issue with group-based licensing and unassign the licenses appropriately. If you have any more questions or need further assistance, feel free to ask! Please refer the below Microsoft documents for more information.
- Assign or remove licenses
- Scenarios, limitations, and known issues using groups to manage licensing in Microsoft Entra ID
Hope this includes all the information that you were looking for.
Please "Accept the answer" if the information helped you. This will help us and others in the community as well.
Thanks,
Raja Pothuraju.