AI Revolution Costs 21,000 Oracle Workers Their Jobs
Oracle has cut approximately 21,000 jobs over the past year as the U.S.-based software giant accelerates the adoption of artificial intelligence across its operations.
The company’s latest annual report shows that its global workforce declined from 162,000 employees in May 2025 to 141,000 as of May 31, 2026, reflecting a major restructuring effort aimed at improving efficiency through AI-powered systems and automation.
Oracle said the integration of artificial intelligence into various business processes contributed to the workforce reduction and warned that additional changes could occur as the transformation continues.
The restructuring has also weighed heavily on the company’s finances. Costs linked to severance payments and organizational changes jumped to $1.84 billion during the last fiscal year, up sharply from $374 million a year earlier.
Company executives acknowledged that the ongoing overhaul could create temporary disruptions in some areas of the business as new technologies are rolled out.
Oracle’s downsizing comes amid a broader shift across the technology industry, where companies are investing heavily in artificial intelligence infrastructure while simultaneously reducing staffing costs.
According to industry tracker Layoffs.fyi, more than 121,000 tech workers worldwide have been laid off so far in 2026 as firms continue to reshape their operations around AI and automation.
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