Employees reportedly received early-morning termination notices as Oracle cuts jobs while pouring billions into AI data centres and taking on more debt to fund its expansion.
Oracle has begun a new round of layoffs, with three employees affected and copies of an internal termination email confirming the cuts began Monday, September 14, Business Insider reported. The report, however, did not specify how many employees were affected.
The layoffs had been expected to begin Monday, Business Insider reported, citing a person familiar with the matter. The notification sent to affected employees said their roles were being eliminated as part of a “broader organizational change” and that September 14 would be their last working day.
Employees were offered four weeks of base salary plus one additional week for each year of employment, according to documents.
What did the Oracle layoff email say?
The email, signed “Oracle Leadership”, told employees that their access to their computers, email, voicemail and files would be deactivated. They were asked to provide a personal email address to receive separation documents and information about their severance.
The San Francisco Chronicle, citing Business Insider, reported that employees began receiving the layoff notices around 6 am, with some workers losing access to corporate systems before the notification arrived.
Oracle has not publicly commented on the latest layoffs. A company spokesperson did not immediately respond to Business Insider’s request for comment.
Layoffs follow 21,000-job workforce reduction
The latest cuts follow a substantial reduction in Oracle’s workforce during fiscal 2026. Oracle’s workforce declined by about 21,000 employees, or 13 per cent, in the fiscal year that ended May 31, according to its latest filing. The company had about 141,000 employees before the current round of cuts.
Oracle had already signalled further restructuring. On September 11, the company said it would increase its expected fiscal 2026 restructuring costs by about $700 million, taking the total to roughly $2.8 billion. The plan includes severance, contract terminations and other exit costs and is partly linked to the adoption of AI across some functions, news agency Reuters reported.
Oracle’s AI spending spree
The layoffs come as Oracle dramatically increases spending on data centres to meet demand for artificial intelligence services.
The company reported $28.5 billion in capital expenditure in the first quarter, up from $8.5 billion a year earlier, and maintained its fiscal 2027 capital expenditure forecast at $90 billion-$95 billion, Business Insider reported.
Oracle has said it plans to raise about $40 billion through debt and equity financing during the current fiscal year. Reuters reported that the company is trying to balance its aggressive AI infrastructure expansion with concerns over its cash flow and debt burden.
