If you could choose between being laid off and taking a pay cut (not an insignificant pay cut) what would you choose?
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10billion per year, but how much of that is new revenue and not just licensing the old stuff?
Why u win has it right. The heavy layers of mid managers is a real drag. They add NOTHING to the company but red tape.
Even IBM is trying to turn it around, but they are jettisoning thousands of emps. Oracle needs to do the same.
Oracle is not a healthy company to start with
Yeah, making $10B in profit year after year after year is terrible.
Oracle plays high bargainer role with employee pay already. Even in OCI space, Oracle's pay is not in par with big competitors like FMSANG companies (Facebook, Microsoft, Salesforce, Amazon, Netflix, Google). It is really employee's choice than Oracle reducing pay whether taking a good severance with unemployment benefits or to stick in job. A layoff during COVID will not affect your career much as staying in Oracle. Employees taking pay cut and stay are really block to Company's culture.
Though its not a big player in Cloud industry Oracle tries to maintain its position and do employee retention as much as possible.
The biggest corner piece is it missed its heavy Middle Management barrier which has been accumulated over several years of acquisitions and mergers. People who don't know much on technical, development, leadership or management. The middle management eats a lot of employee money and drinks/drains lot of productivity. A Pay cut is not suffice for handling this and requires lot of restructuring to bring fresh blood and develop "Development" mindset, culture and productivity. I think Oracle has a big surprise for the middle management in upcoming days (VP's, Snr Directors, Directors, senior managers, product managers, release managers and other non-essential positions) .
Oracle's another problem is reliance on Asian resources more on offshoring and H-1B's thinking these resources can be micromanaged to employ for more hours than normal 8-9 work day. Though few people really do well, most of others engage in office politics, favoritism and gossips than doing real work.
Post COVID, Oracle's major problem include Customer retention both in Cloud and On-premise space. Customer's will prefer less cost and emerging opensource products as they themselves try to save money rather than paying hefty licensing cost. In they cloud arena, most prefer AWS or GCP as they are leaders and Oracle failed to secure a space.
Oracle has to lead , operate more of a Startup now to survive. Its close competitor IBM has already sold some of its on-premise products and started working on cutting edge technologies.
https://www.ibm.com/products/hcl-divestiture
Oracle has to let go of its duplicate products and focus on emerging products or new product development for seeing a new milestone.
The upcoming market and days are going to be hard to swim, whether you stay or not, you have to be competent, energetic and smart to navigate the pains.
It's also possible that Oracle may opt for both a pay cut and layoffs. I think Oracle is in some serious trouble. More trouble than most companies, as Oracle is not a healthy company to start with.
It doesn't look good either way, but I think the pay cut is safest, given it may be very difficult to find a job in the future.
I recall during the crash 12 years ago there was a 5% pay cut at HP. Jobs were hard to come by at the time and I don't recall a single person who quit. Once the recovery kicked in it was another story.
Package
A lot of people these days spend every penny they make. They buy the largest house possible, the best car they can afford..... If you are living on the edge, taking a pay cut, especially a good sized one, can be devastating.
On the other hand, if you get the package, that won't last long by itself and in the coming economy, there may not even be jobs to apply for.
It doesn't look good either way, but I think the pay cut is safest, given it may be very difficult to find a job in the future.
Employers may do the pay cut. If the economy tanks the way it is expected, then they may be looking to cut salaries across the board knowing that employees have no where else to go. We are going into an employer-beneficial economy. Employees may have to take what they can get. Employers will love that.
https://www.mercurynews.com/2020/05/28/white-house-decides-to-not-release-next-economic-forecast/
Package
layoff by a country mile
Package $$$
My vote would be to take a pay cut. Some job is way better than no job, and work toWard correcting the situation.
Pay cut, and start a job search. Would oracle prefer to just get rid of you? History says yes. There’s your answer.
Usually, I would have said laid off. But in this economy and no recovery in sight, I think I'd prefer to have a job at any cost, at least for a while.