In one of the largest layoffs seen in the global technology sector, Oracle Corporation has reportedly cut around 30,000 jobs worldwide, impacting nearly 18% of its workforce. India has emerged as one of the most affected regions, with approximately 12,000 employees losing their jobs across key departments such as cloud computing, engineering, enterprise solutions, product development, and operations. Reports indicate that teams across development centres and support functions, particularly in cities like Bengaluru, have faced significant workforce reductions, with certain departments experiencing deeper cuts than others.
Although the company has not officially disclosed the complete compensation structure, insights shared by affected employees suggest that severance packages are being offered based on tenure. Employees are reportedly receiving one month’s salary for every year of service, which includes the statutory 15 days mandated under Indian labour laws along with an additional 15 days provided by the company. In addition to this, employees may receive one month’s salary in lieu of notice and an extra two months’ salary as an ex-gratia payment. A health insurance cover of approximately ₹20,000 is also being included, while payments for unused leaves and gratuity are expected to be settled separately, calculated based on gross salary.
However, a significant condition attached to these severance benefits has raised concerns among employees. Reports suggest that the full payout is only available if employees agree to resign voluntarily and sign separation agreements, often issued digitally. Failure to comply with these terms could potentially result in the loss of severance benefits, leading to uncertainty and possible legal concerns among those affected.
The layoffs have also highlighted differences in compensation structures between India and the United States. In the US, Oracle has implemented a more structured severance plan, offering four weeks of base pay for the first year of service and an additional week for each subsequent year, capped at 26 weeks. Despite this, even US employees may not receive extended healthcare benefits, and many reportedly lose unvested stock units upon termination, adding to dissatisfaction globally.
Interestingly, these layoffs come at a time when Oracle is reporting strong financial performance, including a significant 95% increase in net income, reaching $6.13 billion. The company has announced a $2.1 billion restructuring plan as part of its March 2026 regulatory filing, indicating a strategic shift rather than a financial crisis. The cost savings from layoffs are expected to generate between $8 billion and $10 billion in cash flow, which will be redirected toward expanding artificial intelligence infrastructure, including advanced data centres and computing systems. Major clients in this space include companies like OpenAI, Meta Platforms, and Nvidia.
Industry reports further suggest that this may not be the end of job cuts. Another round of layoffs in India is expected in the coming weeks, adding to the uncertainty faced by employees in the technology sector. As companies continue to restructure and invest heavily in AI-driven growth, the workforce landscape is undergoing rapid transformation, leaving many professionals navigating an increasingly unpredictable job environment.
