Oracle's total headcount fell 13%, or about 21,000 employees, in fiscal 2026 as the cloud computing giant continues to restructure its business - driven in part by the adoption of artificial intelligence across its operations. Its total headcount was 141,000 as of May 31, 2026, compared with about 162,000 a year earlier, according to the company's annual report released on Monday.
Documents show that Oracle will spend $1.84 billion in severance and other separation costs related to restructuring activities in fiscal 2026, much higher than the $374 million spent in the previous fiscal year.
The company also stated in the filing that the employee size adjustment was due to a variety of factors, including management and product changes, performance issues, strategic adjustments, and mergers and acquisitions.