Oracle Cuts About 21,000 Jobs in a Year as Reorganization Accelerates

Oracle reduced its global workforce by about 13% during fiscal year 2026, according to its annual report. The company said employee headcount fell from roughly 162,000 last year to 141,000 as of May 31, 2026, a drop of about 21,000 workers worldwide.

The shrinkage came amid broad restructuring efforts at the cloud computing giant. Oracle said the changes were driven in part by management adjustments, shifts in its product lineup, performance issues, strategic moves, and acquisitions.

The report also showed that Oracle spent $1.84 billion this year on severance and related retirement expenses. That compares with $374 million in such costs in the previous fiscal year.

The move comes as the tech sector faces rising pressure from artificial intelligence and a wider push for efficiency. Oracle, like other technology companies, has been accelerating the use of AI in its business while trimming costs. According to Layoffs.fyi, 196 tech companies have laid off more than 119,800 workers since the start of the year as the industry adjusts to market changes and the AI shift.