Oracle is said to be preparing for more layoffs in the current month as the company seeks to manage costs within the workforce while spending large amounts on the company’s artificial intelligence infrastructure. The layoff comes just months after Oracle cut down its workforce by approximately 21,000 people in the 2026 financial year.In a recent report in Business Insider, Oracle is said to have directed its managers to pick out workers who could be affected by the ongoing layoffs. The layoffs are set to happen before the start of the company’s second quarter of fiscal operations, which starts on September 1. Some of the teams may reportedly experience layoffs in double digits although this has not been officially stated by Oracle.About The AuthorJournalist and a writer with a strong interest in news, culture, technology, and human-interest stories. Passionate about making complex topics accessible and engaging.Oracle Reportedly Preparing for Another Round of Job CutsThis particular report of job cuts comes against the backdrop of Oracle’s efforts to reconcile two conflicting objectives - managing operating costs and being aggressive about investing in building up its cloud infrastructure to serve AI workloads. In this context, the firm has continued to invest large sums of money in data centers, computers, and other infrastructure facilities due to the rising demand for AI cloud services.In addition, Oracle has continued to accumulate debt to support this kind of growth. Not too long ago, Oracle had predicted that it would raise between $45 billion and $50 billion in 2026 to build its cloud infrastructure. Such investments have made cost management even more critical for Oracle as it seeks to grow in the AI cloud space.Oracle Already Cut 21,000 Jobs in Fiscal 2026The layoffs reported for August come on the heels of Oracle's significant reduction of its work force in the financial year that concluded on May 31, 2026. As indicated in the reports quoted here, Oracle reduced its global workforce by about 21,000 employees over the period.That means that there has been a reduction of 13 percent, as Oracle concluded the fiscal year 2026 with a total of about 141,000 full-time employees globally. The cutbacks were caused by a combination of layoffs, employee attrition, and restructuring instead of one single layoff program.The restructuring process at Oracle came with a significant financial hit. As reported by Reuters in June, the filing made by Oracle indicated that it spent $1.84 billion on severance and other costs related to restructuring during the fiscal year 2026. This amount is considerably more than the $374 million that had been spent during the previous fiscal year.India is another country to have suffered from the restructuring process at Oracle. As indicated in earlier reports, as many as 12,000 jobs could be lost in the country.More articles by AuthorTrending StoriesAI Infrastructure Spending Remains a Major PriorityOracle's workforce reductions are taking place alongside a massive expansion of its AI infrastructure business. The company spent $55.7 billion during fiscal 2026 on AI-related infrastructure, according to the information provided in the reports. It also reportedly borrowed $43 billion to support those investments and is looking to raise another $40 billion through debt and equity during the current fiscal year.The spending reflects the growing demand for computing capacity required to train and run advanced AI models. Oracle has been expanding its data centre infrastructure and cloud capacity to serve customers with increasingly large AI workloads.Its agreement with OpenAI is an important part of this strategy. The cloud partnership, announced in 2025 and reported to be worth around $300 billion, involves Oracle providing infrastructure to support OpenAI's growing computing requirements.While these investments could create a significant long-term opportunity for Oracle, they also require the company to find ways to manage costs elsewhere. Reducing the size of its workforce is one way to lower recurring expenses while continuing to allocate capital towards infrastructure.Is AI Directly Responsible for Oracle's Layoffs?The connection between Oracle's AI push and its workforce reductions is not necessarily as straightforward as employees simply being replaced by AI. One former Oracle employee who spoke to Firstpost said AI had not directly eliminated his role, although automation had reduced the amount of manual work involved in some engineering processes.According to the former Oracle employee who was a backend developer working with Java and Spring Boot, AI technologies were used to perform repetitive tasks like validations and integrations with other APIs and data processing. Thus, developers had the opportunity to concentrate on the logic of their applications.Based on the example above, it might be concluded that artificial intelligence is likely to alter the way certain teams at Oracle function rather than cut out technical positions. Automation technologies may enable smaller teams to perform the job that was previously done by larger teams, helping Oracle to improve workforce efficiency.However, in addition to automation and workforce restructuring, Oracle continues to invest into infrastructure needed to support its expanding AI opportunities.Oracle Has Yet to Confirm the Latest LayoffsFor the time being, the most recent job cuts have not yet been confirmed by Oracle. No further layoffs have been announced by Oracle, even when there have been rumours that the managers have been tasked with finding out which employees can be laid off.Should the rumoured job cuts be implemented before September 1, then this will mark yet another important shift within the Oracle workforce, following the company’s reduction in its headcount by some 21,000 employees during fiscal year 2026.The current scenario clearly shows how Oracle finds itself in a tricky position, with the company spending many billions on building out its infrastructure necessary for the fast-growing AI market while searching for ways to cut down on expenses at the same time. FAQsIs Oracle considering laying off employees again?Business Insider has claimed that Oracle is readying itself for another wave of job cuts in the coming month. Employees have been told to prepare a list of employees who can be considered for laying off.When will the Oracle layoff rumors become true?The layoff rumors of Oracle will come true before the start of Oracle's second fiscal quarter on September 1, 2026.How many employees were let go by Oracle in this fiscal year?Approximately 21,000 employees were laid off from the workforce of Oracle in fiscal 2026 which accounted for a 13 percent decrease in its workforce.How many employees are there in Oracle right now?As per the reports, Oracle has ended fiscal 2026 with approximately 141,000 full-time employees globally.Why is Oracle letting go of employees despite its major investment in AI technology?Oracle is making efforts to manage recurring workforce expenses while investing billions of dollars into AI infrastructure.end of article