Oracle has revealed that the growing use of artificial intelligence played a role in reducing its workforce over the past year, making it one of the largest technology companies to directly link AI adoption to job cuts.
In its latest annual regulatory filing, Oracle reported that it employed 141,000 full-time workers worldwide as of May 31, down from 162,000 a year earlier. The reduction of around 21,000 employees came as the company continued streamlining operations and integrating AI technologies across its business.
“The adoption and deployment of AI technologies across our operations have resulted, and may continue to result, in reductions to our workforce,” Oracle stated in the filing. The company also disclosed that the workforce changes led to restructuring costs of approximately $1.8 billion.
The announcement comes at a time when Oracle is aggressively expanding its AI infrastructure and data center operations to meet increasing demand from customers, including OpenAI. The company has been investing heavily in AI-related services as competition among major cloud providers intensifies.
By the end of May, Oracle had around 49,000 employees in the United States and roughly 92,000 workers in international markets. The company’s total workforce is now slightly below the level it maintained before acquiring electronic health records company Cerner in 2022.
The latest figures provide a clearer picture of the layoffs that have affected Oracle’s operations in recent months. Earlier reports indicated that the company had begun cutting jobs globally, with some employees receiving termination notices through early-morning emails. Several workers later shared their experiences on social media, saying the notifications started arriving at around 6 a.m. local time.
If this article helped you, please consider supporting our work. Every small contribution keeps Abijita.com independent and running.
Oracle’s disclosure offers one of the strongest signals yet that AI is beginning to reshape workforce needs across the technology sector, as companies increasingly automate tasks and invest billions of dollars in AI infrastructure and services.
