Take a look at the rumors posted here on the "FY19 Oracle Zero" in field sales and compare it to the data reported in Oracle's September 18th 2017 10q.
http://d18rn0p25nwr6d.cloudfront.net/CIK-0001341439/6aae1efb-e6ff-44cb-9563-94b1d5ebd7e1.pdf
On page 37
Restructuring expenses in the first quarter of fiscal 2018 and 2017 primarily related to our 2017 Restructuring Plan. Our management approved, committed to and initiated the 2017 Restructuring Plan in order to restructure and further improve efficiencies in our operations.
In the first quarter of fiscal 2018, our management supplemented the 2017 Restructuring Plan in to reflect additional actions that we expect to take. The total estimated restructuring costs associated with the 2017 Restructuring Plan are up to $1.1 billion and will be recorded to the restructuring expense line item within our condensed consolidated statements of operations as
they are incurred.
The total estimated remaining restructuring costs associated with the 2017 Restructuring Plan were approximately $475 million as of August 31, 2017 and the majority of the remaining costs are expected to be incurred through the end of fiscal 2018. Our estimated costs are subject to change in future periods.
To be clear as to what the restructuring plan entails:
Restructuring expenses during the first quarter of fiscal 2018 and 2017 primarily related to employee severance in connection with our Fiscal 2017 Oracle Restructuring Plan (2017 Restructuring Plan).
Lets figure out the basic cost of a severance package. Assuming truth in the target of a 6 figure base salary we could assume a weekly pay rate and an average number of years of service to get a round number. Lets say 120k base or 10k per month with an average of 10 years. The severance package is 4 weeks pay for the first year with an additional week for each year. The estimate is 120k/52 = $2,307 per week. Package should be 4 + 9 = 13 weeks pay at $2,307 for a total of $29,991. Lets assume a 30k cost per employee. Not a bad deal. Thats .03M per employee.
A simple executive caluclation $475M/.03M = 15,833 employees that still need be let go according to the executive restructuring plan. The next question is who? If we assume that there is truth in the 6 figure salary as the selction criteria for layoffs and the truth in rumors of the redcution of field sales we can begin to put the picture together ahead of time as to who is slated for termination. I would assume that approximately 16,000 employees will lose their jobs in field sales and related support as well as what ever is left in Sun / Solaris.
Next question is when? The plan is "Through the end of FY 2018" that indicates that all layoffs will complete before the end of FY 2018, that date is May 31 2018.
Hope that helps clarify the rumors about layoffs. I would assume that there is some truth to this and that its not "Fake News" as it is planned and has a definate dealine communicated through the stock exchange by the executives running the company.
Interesting to note is the 10 Billion dollar loan taken out by Oracle. "Oracle intends to use the net proceeds of the offering for general corporate purposes, which may include stock repurchases, payment of cash dividends on its common stock, repayment of indebtedness and future acquisitions."
https://finance.yahoo.com/news/oracle-prices-10-billion-aggregate-235700719.html
We can be pretty sure its not Future aquisitions as Larry Ellison was quoted as saying "We have bought everytone in the industry we need to. There is no one left to buy." In the last earnings call. It may be stock buy back to prop up the stock value, it may be an additional roll out for the new call centers.
All of this employee severance coincides with the build out of major call centers in Austin Texas, Bengaluru and other places. This is the end of field sales.
https://www.bizjournals.com/austin/news/2016/08/02/oracles-southeast-austin-campus-begins-development.html
https://www.bizjournals.com/austin/news/2017/09/11/layoffs-at-oracle-computing-giants-business-shift.html
https://www.bizjournals.com/austin/news/2017/11/06/while-oracle-puts-finishing-touches-on-new-austin.html
https://www.oracle.com/in/corporate/pressrelease/smb-access-cloud-solutions-in-new-oracle-digital-hub-india-20170707.html
My take on this is it goes hand in hand with the rumors. No one is special or will escape the plan that was laid in place last year, the money was budgeted for severance packages and will be paid out. No matter your skills, no matter your deals no matter how much your manager and GVP loves you then plan will be executed. Your job in sales is going to Oracle Digital. A cheaper version of you is already in the pipe and ready to start dialing for dollars in this new digital age of cloud.
The writing is not on just on the walls its in the 10q, its in brick and mortar buildings in Austin and India. MH and his plan is now being executed for Oracle in a big way. Your time at Oracle is about to come to an end and we know its before this summer. Get ready, pack your bags and move on... or hang out for the 30k package and take an in cube vacation while you interview.