The entire world economy is going through a recession, and while we cannot put our finger on a single thing, this has forced the hand of many companies that are forced to lay off their workforce. Microsoft, Meta, and Amazon have managed to lay off thousands of employees and work across various departments, and while Google was away from this trend, it seems that the company is going through the same thing.
Google makes the tough decision of laying off 12,000 employees due a "different economic reality"
A new report has emerged that talks about how Alphabet, Google's parent company, is preparing to lay off 12,000 employees. Google and Alphabet CEO Sundar Pichai takes responsibility for the cuts and talks about how the company is currently facing a "different economic reality" than anticipated.
Google has already started contacting employees in the U.S. about their termination, while in several regions, employees will still have a few more weeks due to labor laws. The blog sees Pichai talking about how this is one of the toughest decisions of the company but also talks about how there are opportunities for Google to go ahead. Pichai has talked about how the early investments in AI have ensured that the company is on solid ground.
Furthermore, Pichai has laid down some ground rules for the employees being laid off in the U.S.
- We’ll pay employees during the full notification period (minimum 60 days).
- We’ll also offer a severance package starting at 16 weeks salary plus two weeks for every additional year at Google, and accelerate at least 16 weeks of GSU vesting.
- We’ll pay 2022 bonuses and remaining vacation time.
- We’ll be offering 6 months of healthcare, job placement services, and immigration support for those affected.
- Outside the US, we’ll support employees in line with local practices.
You can read the entire blog post here.