Oracle begins new round of layoffs: Report

(Catch all the Technology News News, and Latest News Updates on The Economic Times.) SynopsisPer documents accessed by the publication, emails were sent to impacted employees across multiple departments. They were offered four week of base salary plus one week’s pay per year of employment.

ReutersOracle has begun a fresh round of layoffs as the software giant looks to reduce payroll costs, according to a report by Business Insider. Per documents accessed by the publication, emails were sent to impacted employees across multiple departments.

They were offered four week of base salary plus one week’s pay per year of employment. Some teams were facing workforce reductions of more than 10%, according to multiple reports. Employees being let go were informed that their positions had been eliminated as part of a broader organisational restructuring, with their termination effective immediately.

This comes as the company simultaneously commits tens of billions of dollars to expand data-centre capacity and meet surging demand for artificial intelligence (AI) computing. The latest round is in addition to another huge workforce reduction the company had announced earlier this year.

As per company filings cited by reports, Oracle’s employee count declined by around 21,000, or 13%, during the fiscal year ended May 31, 2026. Of this, about 12,000 roles were in India, ET had reported. Oracle has not publicly disclosed how many employees are being affected by the latest layoffs.

Reports put the number between 7,000 and 10,000. Its June-August quarter revenue rose 30% to $19.3 billion, and it reported a capex of $28.50 billion, including about $18 billion in net cash ⁠outlay. For the second quarter, Oracle expects a 30% to 34% jump in revenue, and an adjusted profit between $1.85 and $1.93 per share, both in line with market expectations.

However, Oracle's stock has taken a beating this year on growing concerns over soaring capital expenditure that has pressured its free cash flow. In July, S&P Global downgraded Oracle's credit rating citing weak cash flow and rising business risk.

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