Oracle is cutting more employees even as it reports record quarterly revenue, adding another workforce shock to a restructuring effort tied to its expanding AI infrastructure plans.
Reports began appearing on social media early Monday that some staff could no longer access systems including email and Slack. Those access problems effectively signaled that their employment had ended, although the process left some workers uncertain about what was happening.
Layoff notices disrupted by account closures
Several former Oracle employees said on LinkedIn that layoff messages were not sent to their personal email addresses. As a result, some people had to rely on supervisors, previous warnings, or calls to determine whether they had been affected.
A copy of the termination email, shared with Business Insider, stated: “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. As a result, today is your last working day.”
The message did not specify the severance package. Other reports said affected employees were being offered four weeks of pay, plus one additional week for each year of employment. Some people posting about the cuts said they had worked at Oracle for 20 years.
Restructuring costs rise by $700 million
Oracle has been restructuring its workforce and business for roughly the past year. The company has shed about 21,000 jobs as it adjusts its direction around building AI datacenters.
The number of employees affected in this latest wave is not specified. Oracle’s most recent quarterly filing with the SEC does, however, indicate that the company is adding $700 million to its 2026 restructuring budget.
Before the quarter ended, Oracle expected its 2026 restructuring plan to cost as much as $2.1 billion. The filing said the costs would primarily involve employee severance, contract termination fees, and other expenses related to exiting or changing operations.
AI infrastructure grows alongside workforce cuts
The restructuring costs are small compared with Oracle’s latest reported quarter. For Q1 FY27, which ended August 31, the company posted $19.3 billion in revenue and $4.76 billion in net income. Revenue increased approximately 30 percent year over year.
The figures show the financial scale of Oracle’s AI infrastructure push, but they do not soften the workforce impact. The company’s filing confirms the larger restructuring allocation; it does not explain how many jobs were eliminated in this specific round.
Oracle did not respond to questions about the layoffs.
Original source: theregister.com
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