Major tech giant Oracle laid off thousands of employees on Tuesday, March 31, 2026, in a massive move that has sent shockwaves through the Bay Area. Workers in the U.S., India, and Canada reported waking up to a 6 a.m. email informing them that their roles had been eliminated effective immediately. The company, chaired by billionaire Larry Ellison, cited "broader organizational change" as the reason for the sudden terminations.
The layoffs currently stand as a primary concern for the tech industry as it shifts toward artificial intelligence. Its primary mandate involves redirecting money to fund a $50 billion expansion of Oracle’s AI data centers and cloud business. “Today is your last working day,” the cold email stated, according to copies shared by frustrated workers online. One employee cited the "immediate revocation" of computer access as the primary reason many were unable to even say goodbye to their teammates.
The job cuts will also absorb and expand upon the growing anger over how big companies treat long-term staff. A critical component of the "spicy" online backlash is a story about a father who was fired after 20 years at Oracle, just two years before he was set to retire. On social media sites like Reddit, former staff members blasted the company for being "evil" and for "creating widespread fear" among those who weren't fired. One person cited the "10,000 person drop" in total staff count as the primary proof of how deep these cuts actually went.
One of the most immediate challenges for Oracle is maintaining its reputation while it tries to hire new people for its AI projects.
Observers cited the inefficiency of the plan as the primary reason for confusion, as the company is paying for expensive severance packages while simultaneously looking for new workers with different skills. “Companies are choosing machines over people,” one tech analyst noted, pointing out that Oracle is trying to keep investors happy by betting everything on the cloud.
The establishment of this "AI-first" strategy follows a report from earlier this month that predicted a "bloodbath" at the company. While Oracle has refused to officially comment on the exact number of people fired, the emphasis from internal leaks remains on a total headcount drop from 165,000 to 155,000.
Director-level leaders at Oracle are reportedly focused on the $50 billion fund meant to grow the business through the end of 2026. As the fired employees look for new work in a crowded tech market, the question remains: “Will Oracle's massive bet on AI data centers pay off for its investors, or will the loss of thousands of experienced workers hurt the company's ability to innovate in the long run?” — a question that will be answered in the next quarterly earnings report.