Google has stated that 12,000 employees would be laid off internationally. Google CEO Sundar Pichai stated that the business conducted a “rigorous review across product categories” to verify that present jobs correspond with the company’s top priorities.
Google has stated that 12,000 employees would be laid off worldwide. Affected Google employees in the United States have already gotten an email, while those in other regions will be notified shortly. Google CEO Sundar Pichai stated in a letter to staff that the business conducted a “rigorous review across product categories” to verify that present jobs correspond with the company’s primary priorities. Uncertainty persists as to which department is most affected by the most recent round of mass layoffs.
Pichai’s letter also emphasises that the business will enable a smooth “transition” for the affected employees. Google will pay employees for the entire notice period (minimum 60 days). It is stated that Google would offer a severance payout beginning with 16 weeks’ salary plus two weeks for each year of service. According to their contracts, eligible workers will also get incentives and healthcare benefits. In contrast, Google employees outside the United States will get severance compensation in accordance with their contracts and local regulations.
Pichai adds that Google will have an employee town hall on Monday. His letter indicates, “As a nearly 25-year-old company, we are bound to experience challenging economic cycles. These are crucial times for sharpening our focus, reengineering our cost structure, and allocating our expertise and resources to our top priorities.”
Although the news of many layoffs is unfortunate, it is not wholly unexpected. Google ceased hiring in the middle of 2022, and Pichai suggested that employees are not working hard and should not connect enjoyment with money. Pichai stated, “We cannot always choose the macroeconomic conditions.”
While Google’s CEO has stated that affected employees will get incentives, a new report indicates that the company has postponed year-end bonus payments for staff. This is highly uncommon for Google employees, as the corporation typically distributes yearly bonuses in January.
Alternatively, according to a report, the firm board authorised a new equity reward for CEO Sundar Pichai that ties his salary more closely to performance.
Google’s news follows Microsoft’s layoff of 10,000 employees by a few days. Due to the worsening of the global economy, other tech titans such as Meta and Twitter have also laid off thousands of employees.
Since Elon Musk’s takeover of Twitter a year ago, Twitter has reduced its personnel by half. The company currently employs approximately 2,000 people. The social networking behemoth let off more employees earlier this week. HP, Adobe, and Salesforce are a few further American software companies that have laid off employees to slash costs. Several Indian internet companies, including Swiggy, Dunzo, and others, have laid off hundreds of employees.
Google, along with a number of other technology companies, has stated that it overhired during the peak of the COVID-19 pandemic when the whole world was compelled to work from home. Users spent more time online as a result, and tech corporations predicted growth post-pandemic. However, as a result of the Russia-Ukraine war and other socioeconomic situations, tech titans began to feel the heat.
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