The global job market is witnessing another round of disruption as major banks and technology companies announce large-scale layoffs and shift work to lower-cost regions. National Australia Bank (NAB), one of the country’s biggest lenders, and Oracle, the American technology major, are the latest firms to trim headcount.

While NAB is moving hundreds of jobs to India and Vietnam, Oracle has cut employees in India as part of a global restructuring drive. At the same time, new tariff warnings from the United States are stirring unease within India’s $280-billion IT industry, raising questions about the future of outsourcing.

National Australia Bank confirmed that 410 jobs will be cut in its technology and enterprise operations division.

According to the Finance Sector Union (FSU), a total of 728 employees are 'impacted', although some may be redeployed. The bank will also create 127 new positions in India and Vietnam, moving some responsibilities abroad. NAB explained that the environment is changing rapidly and that it needs the right skills and structures in the right places to deliver better services. While some roles will disappear, new ones are being created across different locations.

The decision reflects the pressure facing Australian banks as margins shrink due to lower benchmark interest rates. ANZ Group Holdings announced this week that it would cut 3,500 jobs by September next year, while Commonwealth Bank of Australia recently reversed a smaller cut after union criticism. NAB employs more than 38,000 people globally, with 91% in Australia and New Zealand.

However, its India and Vietnam teams have grown to more than 4,200 employees. The bank is also dealing with payroll errors that will cost around A$130 million ($86 million). Chief Executive Andrew Irvine admitted the issue was disappointing and pledged to fix long-standing underpayment problems.

While NAB is shifting jobs overseas, Oracle is reducing them. The company has begun laying off hundreds of employees in India, affecting teams in Oracle Cloud Infrastructure and Oracle Financial Services Software.

India hosts nearly 30,000 Oracle staff, making it a crucial hub. Employees from freshers to senior managers were impacted. Those laid off received severance packages that included two months’ full salary, one month’s basic salary per year of service, gratuity, and leave encashment.

Insiders said that Oracle executives held emergency meetings last week. Sonny Singh, Executive Vice President and General Manager of Oracle Financial Services Global Business Unit, told staff on September 4 that the layoffs were pre-planned and well executed. He acknowledged the sudden absence of colleagues, urged remaining employees to support them, and then announced his immediate retirement. Reports suggest that Oracle has cut about 10% of its global workforce across the US, India, Canada, and the Philippines, and more layoffs could follow.

At the same time, Oracle is pushing employees to adopt artificial intelligence tools. The company has integrated ChatGPT into an internal AI assistant and is monitoring usage. Employees receive automated emails showing their level of AI adoption, which is now a metric used to assess performance and readiness.

These developments are unfolding as India’s IT sector faces rising political risks in the US. A private bill called the Halting International Relocation of Employment (HIRE) Bill has been introduced in the US Senate. It proposes a 25% tax on payments made to foreign or outsourced workers by American firms. This could directly affect outsourcing companies in India that rely on US clients for a major share of revenue.

Adding to the concern, Donald Trump’s trade adviser Peter Navarro reposted a social media message demanding tariffs on foreign remote workers. He argued that outsourcing should be taxed just like goods.

Despite this protectionist talk, US technology companies are expanding in India. Google, Apple, Meta, Microsoft, Netflix, and Amazon have together hired more than 30,000 employees in the country over the past year. They have expanded offices in Bengaluru and Hyderabad, opened engineering hubs, and launched AI partnerships.

Also Read: Microsoft Cuts 9,000 Jobs to Streamline Operations in Fiscal 2025

Ashwini Vaishnaw, India’s Minister for IT and Communications, recently sought to calm fears. He said the government is engaging with global corporations and foreign governments to safeguard Indian IT jobs. According to him, India’s scale, talent pool, and digital adoption ensure its continued relevance even as global policies shift.

The announcements by NAB and Oracle show the mixed picture facing global workers. Banks are moving jobs to India and Vietnam to reduce costs, while technology companies are simultaneously cutting roles in India as they restructure for an AI-driven era. Meanwhile, political debates in the US could alter the economics of outsourcing.

For Indian professionals, opportunities are still growing as multinational companies expand their presence. Yet uncertainty also looms with AI adoption, restructuring, and tariff threats. The year ahead could be decisive in shaping India’s role in the changing global job and technology landscape.