Oracle Layoffs 2026: Tech Giant Plans Fresh Job Cuts in September Amid $55.7 Billion AI Spending

Oracle is reportedly preparing for another round of job cuts this month as the technology giant moves to reduce payroll costs while continuing to pour billions of dollars into artificial intelligence infrastructure. According to a report by Business Insider, Oracle managers have been asked to identify employees who could be affected by the latest restructuring.

Oracle Layoffs 2026: Another Round of Layoff Coming Soon

The reported layoffs come just months after Oracle significantly reduced its workforce. The company had around 141,000 full-time employees as of May 31, 2026, down from approximately 162,000 a year earlier, according to its annual filing. That represents a decline of about 21,000 employees, or roughly 13% of its workforce.

Oracle Teams Could Face Double-Digit Cuts in September

The latest round of potential job cuts could affect multiple teams, with some departments reportedly facing reductions in the double-digit percentage range. However, the exact number of employees who could lose their jobs has not been disclosed, and Oracle has not publicly confirmed the reported August layoffs.

The reported move comes as Oracle attempts to balance its workforce and spending priorities while expanding its cloud and AI businesses. The company has been investing heavily in data centres and computing infrastructure to meet growing demand for AI workloads.

Oracle's own filings show that AI adoption is already influencing its workforce strategy. In its annual report, the company said the deployment of AI technologies across its operations had resulted, and could continue to result, in workforce reductions.

Oracle AI Investment: $55.7 Billion Spent In FY26

Oracle's latest restructuring is particularly notable because it comes alongside an aggressive expansion of its AI infrastructure business. The company spent $55.7 billion during fiscal 2026 on AI-related infrastructure, according to the Business Insider report. It also raised $43 billion in debt financing during the fiscal year to support its capital investment program.

Oracle has said demand for AI cloud infrastructure is growing rapidly. Its remaining performance obligations, a measure of contracted revenue yet to be recognised, reached a record $638 billion at the end of fiscal 2026, with much of the increase linked to large AI contracts.

The company expects to raise approximately $40 billion through a combination of debt and equity financing in fiscal 2027 to support its investment programme. Oracle said its funding plans are linked to the expansion of its AI cloud infrastructure.

Oracle Workforce Falls To About 141,000

The latest reported cuts would add to a significant reduction in Oracle's employee base over the past year. The company's workforce stood at approximately 141,000 as of May 31, 2026, including around 49,000 employees in the US and 92,000 internationally.

Oracle also recorded substantial restructuring-related costs during fiscal 2026. Reports based on the company's filings said severance and other exit costs reached around $1.84 billion during the year, compared with $374 million in the previous fiscal year.

The reported August layoffs therefore come at a time when Oracle is undergoing a significant transformation, shifting capital and employees towards its cloud and AI ambitions while seeking tighter control over operating expenses.

Oracle Layoffs Before September 1? Teams And Number Of Jobs At Risk Remain Unclear

The reported job cuts are expected to be implemented before September 1, when Oracle's second fiscal quarter begins. The final scale of the restructuring, the teams affected and the number of employees who may be let go remain unclear.

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