Investing.com -- Oracle Corporation eliminated 21,000 positions over the past year, representing nearly 13% of its workforce, as the technology sector continues widespread job cuts linked to artificial intelligence adoption.

The company's total workforce fell to 141,000 full-time employees as of May 2026, down from 162,000 employees at the same time in the previous year, according to its annual regulatory filing released Monday.

"The adoption and deployment of AI technologies across our operations have resulted, and may continue to result, in reductions to our workforce," Oracle stated in the filing.

The company allocated $1.8 billion for restructuring costs, including severance payments and other exit costs, up from $374 million in restructuring expenses the previous year.

Oracle acknowledged that workforce changes can be "disruptive," including the increased restructuring costs and reduced productivity. "These types of restructurings may also lead to shortages of sufficiently skilled employees in certain roles, loss of valuable institutional knowledge, and damage to employee morale and retention," the company said.

Oracle told employees in March that it would cut thousands of positions as it faced investor pressure over raising substantial debt for its AI infrastructure expansion.

In January, Oracle announced plans to raise $50 billion in debt and equity. The company's free cash flow in the last fiscal year reached negative $23.7 billion, while capital expenditure jumped 162% to $55.7 billion.

Oracle joins other technology companies, including Meta Platforms Inc., Alphabet Inc.'s Google, Microsoft Corporation, and Amazon.com Inc., which have announced capital expenditure plans this year that could cumulatively reach $700 billion for AI data center development.

Meta laid off 8,000 employees, or 10% of its workforce, in May. Microsoft started offering voluntary buyouts to 7% of U.S. employees in April.

Oracle's shares were trading 1.5% lower on Tuesday and are down over 10% YTD.