February 9, 2006 2:59 PM PST

Oracle to cut 2,000 jobs

Oracle outlined its integration plans for Siebel Systems on Thursday, with 2,000 job cuts among the most notable tasks at hand.

Oracle, which closed its $5.85 billion merger with Siebel last week, plans to cut 2,000 jobs across the Siebel and Oracle work forces, Oracle Chief Financial Officer Safra Catz said during a conference call with analysts.

"We will retain...Siebel's product development and product sales and marketing teams," said Catz.

The layoffs had been expected, with many observers thinking the cuts would hit Oracle's customer relationship management employees the hardest. Oracle had previously said it would use Siebel technology as its core CRM product.

"We will retain 90 percent of Siebel's support, development engineers, sales and sales consultants," said Oracle CEO Larry Ellison. "Most of the Siebel cuts will be in the back office, and nontechnical staff. The majority of the cuts will be Oracle people, not Siebel."

Ellison added that Siebel's sales force will remain intact as a separate CRM sales team, given that Siebel had a larger CRM sales group. Some Oracle CRM sales representatives will be folded into the group.

With the job cuts, Oracle will be left with a global work force of 55,000 employees. Delivery of the layoff notices has already begun, and the bulk of the pink slips will be handed out in the next few weeks.

For Oracle, mapping out integration plans is becoming a common occurrence, as the database and applications giant continues its aggressive acquisition efforts.

The database and applications software giant is interested in snapping up middleware and business intelligence companies, Ellison said during an investment conference Wednesday.

Last September, Oracle announced plans to acquire G-Log, a maker of logistics and transportation management software. And earlier in the year, Oracle won a bidding war for retail applications software maker Retek.

See more CNET content tagged:
Siebel Systems Inc., Oracle Corp., job cut, CRM, Larry Ellison


Join the conversation!
Add your comment
Oracle Fusion
Oracle Fusion = Pink Slip Generator

<a class="jive-link-external" href="http://www.otherthingsnow.blogspot.com/" target="_newWindow">http://www.otherthingsnow.blogspot.com/</a>
Posted by SqlserverCode (165 comments )
Reply Link Flag
Pink slips already given last Friday
Siebel people to continue support main 8.x 7.x versions and some start working on Fusion platform.
Posted by AbuLafya (86 comments )
Reply Link Flag
They're adding jobs in India though
A press release last month said that they're adding 1400 people in India - the release does say though that these will not be replacements for staff displaced in the West.
Posted by (12 comments )
Reply Link Flag
Illegal Discrimination
I bet that they lay off US citizens first, and
don't lay off any of their H1-Bs.
Posted by (139 comments )
Link Flag
Oracle buying JBOSS, Zend and Sleepycat
Oracle is buying JBOSS, Zend and Sleepycat
Now you know why they are laying off all those people

<a class="jive-link-external" href="http://otherthingsnow.blogspot.com/2006/02/oracle-to-buy-jboss-zend-and-sleepycat.html" target="_newWindow">http://otherthingsnow.blogspot.com/2006/02/oracle-to-buy-jboss-zend-and-sleepycat.html</a>
Posted by SqlserverCode (165 comments )
Reply Link Flag
layoff not based on immigration status
the last thing companies consider is the immigration status of employees.

While companies usually don't directly replace US position with offshore, they do move responsibilities offshore and have US hire freeze and offshore hire period.
Posted by AbuLafya (86 comments )
Reply Link Flag
Dude! they laid 100 people today in the Indian offshore sales division, so even though its 10 indian heads for the price of one american one, they still trim the hedges when Uncle Larry and Aunt Safra want to.
Posted by heynownow (1 comment )
Reply Link Flag

Join the conversation

Add your comment

The posting of advertisements, profanity, or personal attacks is prohibited. Click here to review our Terms of Use.

What's Hot



RSS Feeds

Add headlines from CNET News to your homepage or feedreader.