Oracle has commenced another wave of layoffs, with employees receiving termination emails early Monday morning as part of a significant restructuring initiative. This latest round follows a reduction of approximately 21,000 employees, or 13%, during fiscal 2026. Prior to these layoffs, Oracle employed around 141,000 individuals globally. The exact number of employees affected by the new cuts has not been disclosed, but the company has increased the estimated cost of its fiscal 2026 restructuring plan by $700 million, totaling approximately $2.8 billion.
Earlier estimates suggested that Oracle's broader restructuring could impact between 20,000 and 30,000 positions, although this figure was not confirmed for the latest layoffs. Employees received notification emails indicating immediate job termination, with severance packages offered, varying by role and region. Some teams experienced significant reductions, as noted in an internal document reviewed by Business Insider.
The layoffs occurred early in the morning, with termination emails sent as early as 6 a.m. This process has faced criticism from employees and has led to numerous accounts on social media. According to posts on a Reddit forum, the layoffs followed a coordinated timeline, with access to company systems being disabled before the emails were sent. One user noted that their access was cut at 4 a.m. Eastern Time, followed by termination emails arriving at 6 a.m.
Some employees reported discovering their layoffs upon waking up. One individual mentioned that they had been waiting for a stock grant tied to a promotion that would no longer materialize. Reports indicated that some teams, particularly within Oracle's CSS organization, faced substantial cuts, affecting both management and frontline staff in North American CSM teams.
One employee from Texas stated they learned of their layoff when their badge failed at the gate, forcing them to access their termination email from outside the building. This employee had started their role on February 2 and had received a performance rating of "Meets Expectations."
For others, the emotional impact of the layoffs was significant, with one long-time employee expressing disappointment at receiving an impersonal email after 24 years at the company.
The termination email stated: "We are sharing some difficult news regarding your position. After careful consideration of Oracle's current business needs, we have made the decision to eliminate your role as part of a broader organisational change. As a result, today is your last working day."
Oracle's fiscal 2026 restructuring plan was already costly before this latest round, with the company reporting an increase of approximately $700 million in restructuring charges, bringing the total to around $2.8 billion. This higher estimate accounts for additional severance, contract termination, and other restructuring costs.
The corporate rationale for the restructuring is to enhance efficiency and manage costs while investing billions into AI and cloud infrastructure. Oracle's workforce reduction in fiscal 2026 was significant, with a decrease of about 21,000 employees from the previous year. The company has not publicly addressed whether AI systems are taking over the roles of those laid off, nor has it commented on the latest layoffs.
This situation reflects a broader trend, as reported by Business Standard, where major technology companies including Oracle, Amazon, Dell, Uber, and PayPal are implementing job cuts in 2026 amid a restructuring of their workforces while increasing investments in AI and other technologies.