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Oracle Begins Layoffs in Restructuring While Hiring for AI and Data Center Roles

Oracle has reportedly started layoffs in a restructuring, with estimates of 5,000 to 8,000 cuts, while continuing to hire for data center, AI and ML roles. Shares are down 26% year to date.

Cybernews reported that “broader organizational change[s]” are responsible for the layoffs, with Oracle reassessing “current business needs.” Oracle has not disclosed how many workers will be affected. Independent market researcher Amanda Goodall estimates that between 5,000 and 8,000 employees could be cut.

An internal email shared by Goodall tells affected workers that “after careful consideration” they will leave the company immediately. “Today is your last working day,” the email reads. Those impacted have reportedly been offered four weeks’ base salary plus one additional week for every year worked at Oracle. In the previous financial year, the company already cut around 21,000 jobs, or 13% of its headcount.

At the same time, Oracle is recruiting in areas tied to its future direction. Recent vacancies have covered data centers, power infrastructure, engineering, AI and ML. Goodall also noted that some of Oracle’s latest manager and engineer recruits came directly from AWS and Microsoft, suggesting that opportunities at the company could be especially appealing to workers from rival cloud and technology firms.

The mixed picture means Oracle is not necessarily looking to shrink its workforce as much as to shift staff into new areas of focus. The layoffs come just days after co-CEO Mike Sicilia declared that software isn’t dead and that AI is just changing how people interact with it. Oracle shares are down 26% year to date.

Editor's Summary Oracle is cutting an undisclosed number of jobs during a restructuring, with one estimate placing the cuts at 5,000 to 8,000 employees. The company is still hiring for data centers, power infrastructure, engineering, AI and ML, and its shares have fallen 26% year to date.