After weeks of speculation, Oracle laid off employees across multiple countries, including India. According to reports, workers were informed through emails sent as early as 6 am, notifying them that their roles had been eliminated with immediate effect. The restructuring is said to have affected around 30,000 employees globally, with India accounting for a significant share.
Early morning emails shock employees
Employees across teams woke up to sudden termination messages, with little prior warning. The communication stated that Tuesday would be their last working day. The abrupt nature of the announcement has left many employees shocked and unsettled.
Budget cuts, not just headcount reduction, drive layoffs
The latest round of layoffs appears to be driven more by cost-cutting measures than fixed workforce reduction targets. According to employees who spoke to Moneycontrol, teams were asked to meet strict budget cuts instead of reducing a specific percentage of staff.
“Employees in consulting and services have been impacted the most. The company had hired aggressively in anticipation of demand, but now roles are being marked redundant without clear explanations. It could be linked to rising AI-related expenditure,” one employee told Moneycontrol.
Senior roles also hit in wider restructuring
Unlike earlier layoffs, which primarily targeted junior employees, this round has impacted workers across experience levels, including senior roles. Employees with around two years of experience as well as managers with several years at the company have been affected.
“Budget cuts are being enforced at 20-30 percent across teams. If it were purely about reducing headcount, junior employees would have been the primary targets. But since budgets are being cut, even senior roles have been impacted,” an employee told Moneycontrol.
Senior staff, including M4 and M5 levels equivalent to directors and senior directors, have also been let go.
“When budget cuts are enforced, companies cannot limit layoffs to entry-level roles. Senior employees, despite greater financial commitments, are also affected and may find it harder to secure new jobs,” the person added, speaking to Moneycontrol.
Oracle Health and Cerner workforce see major impact
A significant portion of the layoffs appears to be linked to Oracle’s healthcare division, especially following its acquisition of Cerner Corporation.
“Many of those laid off are from the Cerner workforce,” another employee told Moneycontrol.
Oracle had acquired Cerner for $28.3 billion in June 2022, adding around 28,000 employees to its global workforce as part of its push into healthcare technology.
Limited access and uncertainty mark transition period
Those impacted have reportedly been placed on a two-month “garden leave”. While some employees still retain access to email and learning tools, most corporate systems have been revoked.
“Employees still have access to their email and some learning tools, but all other corporate access has been revoked,” a third employee told Moneycontrol.
“So far, communication has been limited to emails, with no clarity on next steps. HR is expected to reach out. Technically, employees remain with the company but without assigned roles during this period,” a source said, as reported by Moneycontrol.
Employees await clarity on compensation and benefits
Many employees are still waiting for clarity on severance packages and benefits, including the status of unvested ESOPs.
“Many are still waiting to hear details from HR on compensation and benefits. The uncertainty is unsettling,” one employee told Moneycontrol.
A long-time employee also expressed frustration over the manner of the layoffs, citing lack of personal communication and internal management decisions as factors that made the situation harder to process.
More layoffs expected as restructuring continues
Sources suggest that this may not be the end of Oracle’s restructuring, with another round of layoffs expected within the next month.
The company has not yet issued a detailed public statement addressing the full scale of the layoffs or the concerns raised by employees, leaving many in the workforce uncertain about what lies ahead.