Oracle has reportedly started another round of layoffs as it reshuffles teams and focuses serious money on AI infrastructure. Business Insider reportedly cited employees caught up in the cuts and an internal email, saying people started getting layoff notices on Monday (September 14, 2026). Those workers found out their jobs were gone as part of a bigger organisational overhaul.
These layoffs follow earlier job cuts during Oracle’s fiscal 2026. The company is trying to rein in costs while at the same time dropping huge sums on building out data centres and AI computing.
Employees reportedly offered severance
People who are losing their jobs this time are getting severance pay based on how long they have been with Oracle. The package reportedly includes four weeks’ base salary, plus another week’s pay for each additional year at the company. Unlike previous severance packages, which capped payouts at 26 weeks, the current documents do not say anything about a limit.
The email to employees explained that their last day would be the same day they received the layoff notice. More details on severance and next steps would come after they filled out the required paperwork.
Oracle plans massive AI infrastructure spending
Meanwhile, Oracle is spending aggressively on AI infrastructure. The company has taken on tens of billions in debt to fund new data centres and the supporting hardware, betting big that demand for AI and cloud services will keep climbing.
Oracle’s capital spending soared to USD 28.5 billion in the first quarter, up from USD 8.5 billion a year ago. For fiscal 2027, the plan is to spend as much as USD 95 billion, mainly on expanding the infrastructure needed for cloud and AI workloads.
Layoffs come amid broader restructuring
These job cuts are not exactly a surprise. Last month, reports surfaced that Oracle was gearing up for another round, even while forging ahead with all this AI investment. The company acknowledged back in March that restructuring costs could reach USD 2.1 billion in fiscal 2026, with a chunk of that tied to severance.
Basically, Oracle’s trying to find the balance between its traditional enterprise business and the fast-growing hunger for AI computing power.
Oracle yet to comment on the latest cuts
So far, Oracle has not said anything publicly about this latest round of layoffs. The situation just underlines what big tech firms are dealing with right now: they need to pump money into new technology but also keep expenses in check.
For Oracle, the months ahead will be all about expanding its multibillion-dollar AI infrastructure while navigating these internal changes. The exact number of people affected by the cuts is not clear yet.
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