Oracle could be on the verge of another round of layoffs, with September 1 emerging as a key date for possible job cuts as the technology giant seeks to reduce payroll costs while continuing to pour billions
of dollars into artificial intelligence infrastructure.
Economic Times has reported that Oracle is laying off around 3,000 employees in India, with the latest round of cuts estimated to affect between 2,000 and 3,000 people. The cuts are expected to take effect from September 1, according to Pareekh Jain, chief executive of market research firm EIIRTrend.
Oracle has around 30,000 employees in India, meaning the estimated cuts could represent a significant reduction in its workforce in the country. The latest layoffs would also come after an earlier round that affected around 12,000 Oracle employees in India.
However, while September 1 has become a closely watched date, Oracle has not officially confirmed that a company-wide layoff exercise will begin today.
Why September 1 Is A Key Date For Oracle Employees
The possibility of layoffs on September 1 was first highlighted in August by Business Insider, which cited people familiar with Oracle’s plans and an internal document reviewed by the publication.
According to that report, Oracle had asked managers to prepare lists of employees who could be affected by a fresh round of job cuts.
The reductions could reach double-digit percentages on some teams.
One person with direct knowledge of the plans was quoted as saying that Oracle intended to reduce its payroll by the time its second quarter began on September 1.
The timing has since prompted speculation that employees could receive layoff notifications today.
Multiple reports suggested that Oracle employees were watching September 1 closely because of the reported payroll-reduction target and the company’s experience during its earlier round of cuts.
The reports said the expectation of early-morning emails was coming from employees and not from an official announcement by Oracle.
Oracle’s India Cuts And Microsoft PIP Exercise
The reported Oracle layoffs come alongside workforce restructuring at Microsoft in India.
ET reported that Microsoft has placed around 500 employees in India on performance improvement plans, or PIPs.
Jain estimated that about 2 per cent of Microsoft’s India workforce, translating to approximately 400-500 employees, could be affected by a global PIP exercise.
Microsoft, however, said PIPs should not automatically be interpreted as layoffs.
Responding to ET’s query, a Microsoft spokesperson said the company has formal performance improvement plan and global voluntary separation agreement processes. Employees who do not meet role expectations can be subject to coaching, a PIP, voluntary separation or termination.
“The share of employees globally on PIPs is a very small percentage,” the spokesperson said, while adding that Microsoft does not discuss specific personnel matters or provide regional breakouts.
Gaurav Vasu, chief executive of market research firm UnearthInsight, also cautioned against interpreting the reported 2 per cent figure as evidence of a shift from layoffs to performance-linked exits.
“Typically, 1 per cent to 2 per cent of the workforce is what can be considered involuntary attrition or PIP-related attrition,” Vasu told ET.
“This can be due to a skill mismatch or a performance issue. So the reported 2 per cent figure is part of a regular process.”
Oracle Is Cutting Payroll While Spending Heavily On AI
The reported Oracle layoffs are taking place against the backdrop of a major shift in the company’s spending priorities.
In August, it was reported that Oracle was investing heavily in AI-related data centres and cloud infrastructure while also taking on substantial debt to finance its expansion.
Business Insider had suggested the fresh workforce cuts were aimed at reducing payroll even as Oracle continued its large-scale AI infrastructure push.
In June, Reuters had cited Oracle’s financial filings and had mentioned that the company’s workforce had fallen by about 21,000 employees, or 13 per cent, during fiscal 2026. Headcount declined to around 141,000 from 162,000 a year earlier.
Oracle also incurred approximately $1.84 billion in severance and exit costs as part of the restructuring, according to Reuters.
What Happened During Oracle’s Earlier Layoffs?
The September 1 speculation is also being viewed against Oracle’s earlier workforce cuts.
Oracle’s March layoffs involved thousands of employees globally, with reports at the time describing early-morning termination emails. Employees had received notifications around 6 am during the earlier exercise, informing them that their roles had been eliminated as part of an organisational change.
That history is one reason September 1 is being closely monitored by employees and industry watchers.
