More job cuts on the way at Oracle

Oracle's Sun integration plan is to result in more redundancies

Oracle has announced further job cuts primarily in Europe and Asia as part of a restructuring after the acquisition of Sun Microsystems.

The company revealed an amendment to its Sun Restructuring Plan in a filing with the US Securities and Exchange Commission.

"The amendment further reduces the size of Oracle's combined workforce primarily in Europe and Asia, eliminates redundant costs resulting from the acquisition of Sun, and reflects improved efficiencies in operations," the filing said.

"Oracle estimates the additional costs related to this amendment to the Sun Plan will be between $675m and $825m [£467m and £571m], the substantial majority of which will require the outlay of cash."

Oracle expects that $550m to $650m (£380m to £450m) will be "restructuring charges" related mainly to employee severance costs, while $85m to $115m (£58m to £79m) will relate to facilities costs, and $40m to $60m (£27m to £41m) will relate to contract termination costs.

Sun revealed in a regulatory filing in October that delays in its proposed merger with Oracle would force it to cut 3,000 jobs in the next 12 months.

The firm said at the time that it would make the cuts in all geographical areas, and that it expected the layoffs to cost between $75m and $125m (£45m and £75m).