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Oracle Layoffs Signal Shift Toward AI-Led Productivity
Oracle has started another round of job cuts.
The exact number of affected workers in India is not known.
The company also made much larger cuts in March.
Experts say artificial intelligence can help some workers produce more, so companies may not need to hire as many people.
They also say layoffs can happen for other reasons, such as saving money or changing business plans.
Jobs involving software testing, support and some engineering work may be especially affected.
At the same time, companies still need people with skills in AI, cloud computing, data and security.
India’s global capability centers may continue to grow, but they may focus more on complex work than on employing very large numbers of people.
This means technology companies could produce more while their workforces grow more slowly.
Oracle began another round of layoffs on September 14, though the number affected in India remains unknown.
The cuts follow Oracle’s March restructuring, when tens of thousands of jobs were eliminated globally.
Experts say AI, automation, cost discipline and business restructuring are reducing the link between technology spending and headcount.
Demand remains strong for specialized skills in AI, data, cloud, security and higher-value engineering roles.
India’s GCC sector is expected to keep expanding, but growth may increasingly be measured by complexity and business value rather than hiring volume.
- Who
- Oracle employees, technology companies, industry experts and India’s global capability centers.
- What
- Oracle began another round of layoffs as the technology industry shifts toward AI-led productivity, automation and leaner workforces.
- Where
- The cuts affect Oracle globally, with the impact on employees in India still unknown; affected employees in the United States reportedly lost access to company systems.
- When
- The latest layoffs began on September 14, following a larger round in March; the article was published on September 15, 2026.
- Why
- The stated factors include AI-led productivity gains, cost discipline, business restructuring and shifting investment toward cloud and AI infrastructure.
AI and Leaner Workforces
Restructuring and Higher-Value Growth
Main cause of layoffs
AI and Leaner Workforces
Praveen Bhadada said AI is delivering productivity gains in areas such as engineering, testing and support, which could reduce demand for some roles.
Restructuring and Higher-Value Growth
Aditya Narayan Mishra cautioned that layoffs should not all be attributed to AI, citing cost discipline, business restructuring and capital reallocation toward cloud and AI infrastructure.
Technology hiring
AI and Leaner Workforces
Technology spending can increasingly raise output without expanding headcount at the same rate, making workforce growth a weaker measure of investment.
Restructuring and Higher-Value Growth
Demand remains strong for specialized and complex work, including AI, data, cloud, security and higher-value technical mandates.
Future of Indian GCCs
AI and Leaner Workforces
Bhadada said lower-maturity, back-office GCCs are particularly exposed to AI automation and predicted that more than 50 could face closure, reduced headcount or takeover by service providers this year.
Restructuring and Higher-Value Growth
Mishra said AI is unlikely to slow the strategic expansion of Indian GCCs, although growth will increasingly be measured by complexity, global mandates, products, platforms and business value.
Key facts
- Company
- Oracle
- Latest cuts
- Another round began on September 14; the number affected in India is unknown.
- Previous cuts
- Oracle cut tens of thousands of jobs globally in March.
- Potentially affected roles
- Software engineering, testing, technical support, project management and other technical roles.
- Growing skill demand
- AI, data, cloud, security and forward-deployed engineering.
- GCC impact
- More than 25 Indian GCCs reportedly shut down, reduced headcount or were taken over by service providers last year.
- Expected GCC trend
- More than 50 GCCs could face a similar fate this year, according to Praveen Bhadada.
Quotes
Aditya Narayan Mishra
MD and CEO of CIEL HR
“Earlier, scaling technology capabilities often meant adding more people; today, companies can invest significantly in AI, cloud and automation and increase output without expanding the workforce at the same rate.”
thehindubusinessline.com
“While Oracle’s layoffs are about AI, they are also about building a leaner organisation for future resilience amid considerable uncertainty in the technology industry.”
thehindubusinessline.com
Sources
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