Oracle Fires US Employees: Reports

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Oracle, the popular database and cloud services provider, has begun laying off employees in the US, The Information said Monday, citing a person with direct knowledge of the matter. It also said layoffs are expected to affect workers in Canada, India and parts of Europe in the coming weeks and months.

The layoffs were first reported last month by The Information, where the publication revealed that Oracle was considering layoffs in its global workforce in August, as part of a $1 billion cost-cutting proposal.

While the current report makes no mention of the number of affected employees in the US, the layoff from Oracle will affect employees at its offices in the San Francisco Bay Area. According to Bloomberg, the layoff affected everyone from a junior sales associate to a divisional sales director in the US customer experience division, which provides analytics and advertising services.

The customer experience division has long been behind the growth of the rest of the Austin, Texas-based software company. Douglas Kehring, Executive Vice President, had said at an event last year that the unit “historically has probably been a little more disappointing than it should have been”.

According to the company’s latest annual report, as of May 31, 2022, it had approximately 143,000 full-time employees.

“Today is a sad day at Oracle,” Chad Cain, a former senior manager in solution engineering at Oracle, wrote on LinkedIn Monday. “They have decided to reorganize the CX organization and move forward with other solutions. Many people will be affected by this reshuffle and quality people will be lost.” In a separate post, another laid-off manager mentioned the restructuring before the layoffs.

Last month, about 60 people were laid off from Oracle’s advertising unit that included top executives such as CMO Ariel Kelman and marketing leader Juergen Lindner, who were expected to leave the company. Other units apparently cutting back include Oracle CX Marketing, according to LinkedIn posts from a former senior manager and vice president of the group.

The layoffs come after Oracle last year shut down healthcare technology provider Cerner Corp. in an approximately $28.3 billion deal designed to significantly expand the company’s presence in the healthcare sector. According to the company’s website, the acquisition has absorbed about 28,000 Cerner employees.

While Oracle is the latest tech company to lay off employees, tech giants like Microsoft Corp, Alphabet Inc. and Apple Inc. also discussed austerity measures and scaled back their recruitment efforts in response to fears of a recession and rising costs.

Last month, Microsoft made a “small number of role eliminations,” which reportedly affected less than 1% of the company’s 180,000 employees.

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