Speaking to Reuters on the sidelines of a Needham & Co. Growth Conference in New York, Oracle Chief Financial Officer Harry You would not specify how many jobs would be axed, but noted that Oracle would do what makes financial sense. Industry analysts have estimated at least 6,000 jobs may be lost at PeopleSoft. PeopleSoft ended 2003 with more than 12,000 employees, according to its latest regulatory filing.
“On the personnel front, our goal is to get integration done this month,” You said at the conference. “It would be literally in the next few days.” An Oracle spokeswoman later said the jobs announcement could come Friday or early next week, according to Reuters.
Richard Davis, managing director of Needham, said he expects Oracle to cut 80% of sales jobs and up to 90% of administrative jobs at PeopleSoft, but keep the bulk of its research and development team.
You said there was room for improvement in PeopleSoft’s business, such as how it handles sales. Oracle learned over the holidays when combing PeopleSoft’s financial records that 80%of its license revenue did not come until the last day of the quarter, according to Reuters.
Oracle completed its $10.3 billion purchase of PeopleSoft January 7 (See Oracle Extends Tender Offer Two More Days ).
« MetLife Launches Retirement Education Center