Oracle Layoffs: No Heads-Up, No Severance - What Went Awry?

Amid surge in AI-linked expenditure, the Texas-headquartered tech major Oracle has initiated the one of the largest downsizing, including handing the pink slip to nearly 12,000 employees in India.

However, the shock as several employees impacted by the layoff move noted was the no heads-up update that before employees could receive their severance benefits each one needed to ink all paperwork via DocuSign.

The official emails reportedly were delivered at approximately 6 am IST in India, and 3 am Pacific Time in the US.

According to certain claims that went viral across social-media platforms, employees were not directly in communication with their respective managers. Meanwhile, others noted that many lost access to internal systems immediately after having read the mail.

Hrishikesh Narsha, ex-Group Manager for Software Development at Oracle's India arm, penned, "It is a strange transition to wake up and realise your daily priorities have shifted overnight. While my mind still instinctively drafts to-do lists for projects that are no longer mine, I’m navigating the same heavy questions as many others who got laid off—thinking about family, finances, and the future."

Reportedly, the official communication signed Oracle Leadership said, "After careful consideration of Oracle's current business needs, we have made the decision to eliminate your role as part of a broader organizational change. As a result, today is your last working day."

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What's Oracle's Severance Package In India

In the south Asian country, the payout reportedly adheres to the N+2 model. Employees are expected to receive compensation equivalent to their years of service plus two additional months, but unvested restricted stock units (RSUs) will be forfeited.

Meanwhile, for US-based employees Oracle is offering a severance structure that includes four weeks of base pay for the first year of service, along with an additional week for each subsequent year, capped at 26 weeks.

What Triggered Oracle's Global Layoffs

The mega reduction in workforce by Oracle comes amid the company's rising spending in artificial intelligence infrastructure.