Oracle has begun a new round of job cuts across multiple teams, following a fiscal year that saw its workforce shrink by 13%. The layoffs coincide with massive capital spending on data centers to fuel artificial intelligence infrastructure, driving up debt and prompting billionaire co-founder Larry Ellison to cancel a major stock sale.
Job Cuts and Layoff Notification Details at Oracle
Oracle has initiated a fresh wave of staff reductions, with affected employees receiving termination notices on Monday. Oracle began a new round of layoffs, according to three individuals impacted by the decision and internal emails viewed by reporters. The workforce reductions had been anticipated by industry watchers earlier in the week, following prior job cuts carried out earlier this year. On Monday, posts started appearing on LinkedIn, Reddit, and Blind from people claiming to have been impacted by the latest round of cuts. Business Insider previously reported last month that the company had drawn up plans for a new round of job cuts to reduce payroll as it racks up billions in debt to fund AI infrastructure.
Internal documents indicate that planned reductions reached double-digit percentages on specific teams, according to an internal document. An Oracle spokesperson did not immediately respond to requests for comment from Business Insider.
“After careful consideration of Oracle’s current business needs, we have made the decision to eliminate your role as part of a broader organizational change.”
Oracle Leadership, via Business Insider
The notification emails added, As a result, today is your last working day.
Additional text from the Oracle Leadership message stated, We are grateful for your dedication, hard work, and the impact you have made during your time with us.
Affected workers have been informed that after signing termination paperwork, they will be eligible to receive a severance package subject to the terms and conditions of the severance plan. Workers will receive an email from DocuSign to their Oracle email address with details on their severance and termination date, and they have been directed to provide a personal email address via a submission form to access follow-up information, FAQs, and separation documents. The notice also reminded employees that access to their computer, email, voicemail, and files will be deactivated soon, and they are prohibited from downloading, copying, or retaining any Oracle confidential information, with any further questions directed to the HR team via the Ask HR page.
Workforce Shrinkage and Aggressive AI Infrastructure Spending
The current cuts arrive on the heels of a significant contraction in headcount. Oracle’s total workforce decreased by 21,000 employees—a 13% reduction—during the 2026 fiscal year that concluded on May 31, according to a recent filing. Before this latest round of job reductions commenced, the corporation maintained around 141,000 employees, according to the company.
The downsizing parallels an aggressive capital expenditure cycle aimed at expanding data center capacity as Oracle racks up tens of billions of dollars in debt to build data centers, betting on increasing demand for AI. Oracle Corp has begun a new round of job cuts while accumulating substantial debt to finance artificial intelligence infrastructure. Financial disclosures show that Oracle reported $28.5 billion in first-quarter capital expenditures, up from $8.5 billion a year earlier. Meanwhile, the company maintained its fiscal 2027 capital expenditure forecast at $90 billion to $95 billion.
Larry Ellison Cancels Stock Sale Amid Financial Rebalancing
As the company navigates one of its most capital-intensive phases, executive trading plans have also shifted. Larry Ellison canceled a plan to sell as many as 50 million Oracle shares, a transaction worth approximately $7.5 billion. The 10b5-1 trading plan, originally adopted on June 22, 2026, would have allowed him to sell those shares through October 24.
The cancellation was disclosed in a September 11 filing, with Oracle confirming no shares were sold. Oracle has not publicly explained Ellison’s rationale, and no alternative sale plan has been disclosed. Wall Street isn’t convinced the bet will pay off, though the company’s latest earnings report had some positive signs, including cloud growth.
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