Now Reading: Oracle managers asked to pick employees for layoffs before September 1
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Oracle managers asked to pick employees for layoffs before September 1
Oracle managers asked to pick employees for layoffs before September 1
Oracle is preparing another round of job cuts, with managers asked to submit lists of employees whose roles will be eliminated before September 1, the start of its second fiscal quarter, Business…
The Story in Brief
Oracle is preparing another round of job cuts, with managers asked to submit lists of employees whose roles will be eliminated before September 1, the start of its second fiscal quarter, Business Insider reports, citing people familiar and an internal document. Some teams could see reductions in double-digit percentages. The company has not commented on the reports.
The layoffs would follow a year in which Oracle cut about 21,000 roles, or 13% of its workforce, dropping headcount from 162,000 to 141,000 by May 2025. In March, roughly 10,000 employees received termination emails at 6 am with immediate effect. The company booked $1.8 billion in restructuring costs last fiscal year and has about $300 million left of its $2.1 billion restructuring budget.
The Indian Opinion
The narrative that AI creates more jobs than it destroys takes another hit. Oracle is spending $55.7 billion on AI data centres while cutting thousands of workers, telling investors that AI helps it build software with fewer people. The stock is down 20% this year, debt is piling up, and shareholders have sued over disclosures. The real test is whether Oracle can show that these cuts and massive AI spending actually improve free cash flow, which was negative $23.7 billion last year. If not, the story is just cost-cutting dressed up as innovation.
Sources (2): timesofindia.indiatimes.com, economictimes.indiatimes.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
