Oracle Layoffs: What’s Happening, Who’s Affected & Severance Rights in Canada

Analysts at TD Cowen are warning that Oracle could cut approximately 30,000 jobs in 2026 and sell its health tech unit, Cerner, in an effort to ease financial challenges associated with its data centre expansion.

The speculation, covered by The Register and other media outlets, is primarily driven by the tech giant’s $300-billion deal to supply cloud infrastructure to OpenAI, which was announced last September.

This page explains:

• What’s happening with Oracle layoffs
• Who’s most affected
• Whether an Oracle layoff is permanent
• How much severance Oracle employees in Canada may be owed
• What to do before signing a severance offer

Oracle Layoffs: A Timeline of Recent Job Cuts

Reports of a potential workforce reduction looming at Oracle comes after the following layoffs:

• August 2025:
  A significant number of Oracle workers in Kitchener were affected by a company-wide restructuring
• May 2023:
  Oracle laid off more than 3,000 employees at Cerner

Who’s Affected by Oracle Layoffs?

It remains unclear which roles, departments, or geographic regions would be affected if Oracle eliminates tens of thousands of jobs.

As of May 2025, the company employed a global workforce of roughly 162,000 people. Over 2,000 employees are located in Canada.

Oracle is a provincially regulated employer — meaning most non-unionized employees are governed provincial employment standards, not the Canada Labour Code.

Is an Oracle Layoff Temporary or Permanent?

For non-unionized Oracle employees, a layoff is almost always treated as a termination without cause, even if the following language is used:

• “Restructuring”
• “Reorganization”
• “Transformation”
• “Temporary layoff”

Unless your employment contract explicitly allows for Oracle to temporarily lay you off, the company can’t place you on indefinite layoff without terminating your employment — meaning they must provide full severance pay.

Severance Pay for Oracle Employees

In Canada, non-unionized employees, including those at Oracle, are often owed far more severance pay than what’s outlined in their initial offer.

Severance is based on common law entitlements, not just minimum standards. Factors include:

• Age
• Length of service
• Position and seniority
• Availability of comparable jobs

In many cases, Oracle employees in Canada can be owed up to 24 months of compensation.

Severance may include:

• Base salary
• Continued benefits
• Bonus and incentive compensation
• Stock, equity, or RRSP contributions (where applicable)
• Vacation pay
• Other earned compensation

First offers often:

• Cover only minimum entitlements
• Exclude bonuses or incentives
• Impose short signing deadlines
• Undervalue long-service or senior employees

Severance Offers: Common Problems

Canadian employees affected by layoffs frequently report issues such as:

• Severance offers far below legal entitlements
• Missing or unclear compensation breakdowns
• Benefits cut off too early
• Bonuses excluded without justification
• “Temporary layoff” language used improperly
• Pressure to sign within 24–48 hours

Wrongful Dismissal and Oracle Layoffs

A wrongful dismissal occurs when major employers, including Oracle, fail to provide full severance required under common law.

You may have a claim if:

• Your severance offer is too low
• A termination clause isn’t enforceable
• You were pressured to accept your severance offer on the spot
• Bonuses or benefits were excluded from your severance package
• You were terminated while on medical, parental, or disability leave
• Oracle labelled your termination a “temporary layoff” without contractual authority

Large-scale layoffs don’t reduce Oracle’s legal obligations.

Laid Off at Oracle? Next Steps

If you’ve been laid off at Oracle:

1. Don’t sign your severance offer immediately
2. Gather your employment contract, bonus plans, and benefits information
3. Use the Severance Pay Calculator to double-check your entitlements
4. Keep records of your role, compensation, and length of service
5. Speak with an employment lawyer before agreeing to anything

Oracle Layoffs: Frequently Asked Questions

How much severance can Oracle employees receive?

Up to 24 months — depending on age, service, and position.

Are Oracle layoffs permanent?

For non-unionized employees, yes. A layoff is typically a termination.

Does Oracle have to include bonuses in severance?

Often yes — especially if bonuses were a regular part of compensation.

Can Oracle terminate employees on leave?

This can raise serious wrongful dismissal and human rights issues.

Can employment lawyers represent unionized Oracle staff?

No. Unionized Oracle employees must go through their union.

Lost Your Job at Oracle? Get Help Now

If Oracle has laid you off, or offered a severance/buyout package, get legal advice before you sign.

Samfiru Tumarkin LLP, one of Canada’s most reviewed employment law firms, has helped more than 50,000 Canadians secure the compensation they’re legally entitled to.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.