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Oracle closes its software support centre in Britain

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November 24, 2015

Oracle has admitted today that it is closing its software support centre in Britain in a move some say it will shift all European support services to Romania and cut more than 1,000 support staff.

The company confirmed to us that it was in the process of consolidating its software support services into co-located entities, and that the decision is permanent.

It said the move will affect the current software support operation in the United Kingdom but would not comment further, however.

One source (who asked not to be named) said that some support centres around the globe are closing under global rationalisation plans. Translation: cost cuts.

For example, Egypt closed a couple of weeks ago. Various European centres closed a couple of months ago, such as Switzerland.

France was recently told it will close by the end of March 2016. Then Australia would be closing by the end of February '16 and that the U.K. was told this week that it would close by February 2016, Oracle said.

We attempted to contact the Egypt and Swiss support centre, but was routed to the U.S. support centre instead.

The only support centre to remain in Europe after early 2016 will be in Romania, with the next phase to consolidate centres across the United States, said the source.

This simply means that more than 1,000 workers have been made redundant in the last couple of weeks.

"The motives are still unclear for now whether it's a desperate rush to the cloud, or that the financial numbers aren't looking that great," the source said.

Another ex-Oracle worker claimed a former colleague had been in touch late last week to say that all of the support staff in Britain had been let go.

"The United States appear unaffected for now, but I'm not 100 percent certain whether it escapes completely, and this action does appear to affect U.K. support across all product lines," he added.

We first reported the rumors that Oracle was planning to cut many of its European support centres last year.

But back then, it was understood that the U.K. and the Netherlands would be retained. At the time, some sources suggested that the job cuts would amount to 450 job losses this year. It now appears that things are getting worse.

They claimed that customers are likely to suffer as a result of the changes and are unlikely to see a reduction in their licencing fees, adding-- "Oracle is axing experienced technical people for inexperienced and cheap labour."

An Oracle spokeswoman said-- "In response to the evolving customer need for product support in the United Kingdom, Oracle is in the process of consolidating its software support services into co-located entities. While this will affect the current software support operation in Britain, the rest of Oracle’s operations are not impacted. Oracle remains committed to the U.K. market and to its customers.”

Source: Oracle.

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