Oracle, the software giant, has undertaken substantial workforce reductions in its health unit, rescinding job offers and reducing open positions, as reported by sources referenced by Insider. This action aligns with a wider pattern of cost-cutting measures being adopted by companies across corporate America in response to escalating inflation and rising interest rates.

In a high-profile deal that made waves in December of the preceding year, Oracle acquired Cerner, a renowned electronic medical records provider, through its health unit. The acquisition set a record, with Oracle investing a staggering $28.3 billion in the transaction.

Significant challenges emerged from Cerner's collaboration with the US Department of Veterans Affairs, which had a notable impact on the recent layoffs. Cerner was entrusted with the responsibility of replacing the department's internally developed medical records system with its advanced technology, contributing to the workforce reductions.

Regarding compensation for the impacted employees, the report discloses that they will be provided severance packages equivalent to four weeks of pay, with an additional week added for each year of service. Furthermore, they will be eligible to receive a payout for any accumulated vacation days.