AI impact: Dell cuts 11,000 jobs in strategic workforce trim

Dell Trims Workforce

Dell has cut nearly 10% of its workforce over the past year, its latest annual filing revealed.

The company’s employee count stood at 97,000 as of January 31, 2026, reflecting a sharp decline of around 11,000 jobs compared to the previous year.

Strategic Restructuring

The downsizing is seen as part of a long-term restructuring effort rather than a one-time move, as the company adapts to shifting industry dynamics driven by artificial intelligence and automation.

Dell has also reduced its severance spending to $569 million in FY2026, down from $693 million in FY2025, indicating tighter cost management.

AI-Driven Shift

The workforce reduction underscores a broader transition within the tech industry, where companies are increasingly investing in AI-led infrastructure and streamlining operations to improve efficiency and margins.

Oracle Cuts Jobs Globally

Oracle has reportedly slashed around 30,000 jobs worldwide, including nearly 12,000 in India, in a sweeping round of layoffs.

Employees across teams said they received termination emails as early as 5–6 am, informing them that their roles had been eliminated.

Oracle is estimated to have a workforce of about 30,000 in India, including those impacted by the latest cuts, with reports suggesting another round of layoffs may follow.

In its communication, Oracle said the affected roles had become redundant due to operational streamlining and added that employees had been informed earlier about organisational changes.

The move is linked to its massive investment in AI-focused data centres, many of which are expected to support the computing needs of OpenAI, led by Sam Altman.