Thousands of Oracle employees were let go recently in a workforce reduction that analysts have estimated could affect up to 30,000 workers. Reporting has linked the cuts to funding the company’s AI data-center expansion. The scale alone makes it a significant workforce event. But it’s the terms Oracle offered, and how it chose to deliver the news, that are drawing the sharpest scrutiny from HR leaders.

Affected employees received an email signed by “Oracle Leadership” and were immediately locked out of internal systems when the notices went out at 6 a.m. ET, according to HR Executive reporting. The message cited “Oracle’s current business needs” and “broader organizational change” without elaboration.

The approach is being contrasted with how Block CEO Jack Dorsey handled his company’s recent reduction of more than 4,000 employees. Dorsey personally addressed staff in communications, led with severance details and ensured all employees learned simultaneously whether they were staying or leaving. The method drew wide attention and even some respect even amid the pain of the cuts themselves.

Oracle layoffs highlight a widening severance gap

The severance terms differ as well. Oracle offered four weeks of base salary plus one additional week per year of tenure, capped at 26 weeks, according to Business Insider. Block’s package included 20 weeks of base pay, one additional week per year of tenure, six months of healthcare coverage, a $5,000 transition stipend and the option to keep corporate devices.

For HR leaders advising the C-suite on severance design, that gap matters beyond the immediate cost calculation. As HR Executive has reported, severance terms are now as visible to future candidates and current employees as the layoffs themselves.

The broader tech layoff wave

Oracle and Block are not outliers. According to third-party data compiled by RationalFX, a personal finance and trading education platform, 78,557 tech layoffs have been recorded globally so far in 2026, with U.S. companies accounting for roughly 77% of that total. Oracle leads all companies with 25,254 cuts, followed by Amazon at 16,000 and Block at 4,000.

RationalFX found that AI-related restructuring accounts for nearly half of all tech job losses tracked this year. If the current pace continues, the firm projects 2026 will approach the tech layoff peak of 2023, when an estimated 430,000 workers lost jobs.

Communication during layoffs

Peter Banko, longtime health system CEO and author of The Necessary Goodbye, told HR Executive there is “no graceful way” to execute cuts at this scale. But intentionality still matters. “How you do it, what you do with it and what you say matter,” he says, adding that senior leaders, not HR, should deliver the message directly.

The stakes are measurable. PwC’s 2024 Trust in Business Survey found that 86% of business executives believe employee trust in their organization is high, while only 67% of employees say they actually trust their employer. PwC reported that gap has widened in recent years.

And when that trust erodes, “the risk isn’t that employees leave, it’s that they stay and work half-heartedly,” according to report authors. “Building trust with employees and consumers requires sustained efforts over time, but it’s not necessarily a complex problem to solve.”

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