Oracle has confirmed job cuts at its Cerner digital health records division as it tries to integrate its $28.3 billion acquisition from last year.

Sources said employees were told their roles had been removed last week.

Former staff who were affected said Cerner’s marketing and creative services units were the worst hit.

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They added several technical roles were eliminated.

However, the full extent of reductions couldn’t be determined. 

Jason Withington worked at Cerner for about 16 years, most recently in data center operations, before he was let go last week. 

He said multiple staffers with over a decade of service in his unit also lost jobs.

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Oracle acquired Cerner last June and has powered cloud growth contributing more than $1.5 billion in sales in the most recent quarter. 

Chairman Larry Ellison has said Oracle expects even more robust future growth for the electronic records business.

But the software giant is focused on trimming costs at Cerner. 

At an investor event in October, CEO Safra Catz said there are several methods to boost profitability at the new acquisition. 

She said: “The situation in Cerner — that’s just not how we run a place,” later adding they would “clean Cerner up.”

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Last year, Oracle announced it would conduct a restructuring program “due to our acquisitions and certain other operational activities.”

The company spent $585 million on the program through February 28, mainly related to employee severance costs.

Oracle is expected to spend some of the remaining $342 million set aside for restructuring through the end of the fiscal year in May.

Oracle didn’t respond to requests for comment on the job losses. 

Source: Bloomberg

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