As AI transforms the workforce, Oracle eliminates more than 100 positions in India


Oracle, one of the world’s largest enterprise software and cloud technology firms, has begun trimming its workforce in India as part of a sweeping global restructuring drive. According to a report by The Economic Times, more than 100 employees in India were asked to leave last week, with sources suggesting that the total number of affected roles could eventually run into a few hundred. The layoffs span across multiple teams, including those working in cloud operations, reflecting the company’s attempt to recalibrate its business in line with shifting technological priorities.

In letters sent to impacted staff, which were reviewed by ET, Oracle stated that the decision was part of ongoing organisational changes. The communication explained that certain roles were being declared redundant as the company sought to streamline its operations and adapt to new business needs. Employees were informed that the move was not connected to their performance but rather to broader technological transitions and cost-cutting measures.

As part of the severance package, Oracle has offered 15 days’ salary for each completed year of service and extended medical insurance for up to one year. Among those affected were employees who had been with the company for as long as 15 to 20 years. While some of these exits were reportedly managed on amicable terms, with provisions such as garden leave, other employees described the process as abrupt and unsettling.

A source familiar with the restructuring said that the rationale behind the layoffs was tied to Oracle’s increasing focus on artificial intelligence and automation. “These exits are not related to individual performance. They are primarily due to technological shifts, especially with AI coming into play, and the company looking to optimise costs,” the source explained.

The development comes in the wake of Oracle’s larger global workforce reduction, which saw the company cut over 3,000 jobs worldwide in recent weeks. The restructuring is viewed as part of Oracle’s broader strategy to pivot aggressively toward AI-driven services and to boost efficiency across its operations. Despite the cuts, the company has continued to post strong financial results, with Oracle India reporting a revenue of ₹20,459 crore for the year ended March 2024—a 20 percent jump compared to the previous fiscal year. The company employs around 30,000 people in India, making the market one of its largest operational hubs globally.

Industry experts point out that Oracle’s move is not an isolated case but part of a larger wave of layoffs across the global technology sector. Giants such as Microsoft, Meta, and Salesforce have all trimmed their headcounts in recent months. Data compiled by layoffs tracking platform Trueup.io suggests that around 205,000 jobs could be cut worldwide in 2025 alone, with nearly 140,000 of these losses expected to come from technology roles.

Phil Fersht, founder of HFS Research, noted that advancements in large language models and agentic AI have made it possible for companies to automate tasks that previously required entire teams of engineers or coders. “Global tech firms are under increasing pressure from investors to show productivity gains and protect margins. Cutting headcount while doubling down on AI infrastructure has become the fastest lever to pull,” Fersht explained.

Experts warn that the layoffs in the technology sector may continue in the foreseeable future as companies seek to balance innovation with cost discipline. The rapid evolution of AI, coupled with broader economic pressures, is reshaping workforce strategies across the industry, leaving thousands of employees vulnerable to sudden job losses despite strong company revenues.


 

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