CEO of google Sundar Pichai

Due to economic conditions, Google laying off 12,00 employees: said CEO Sundar Pichai

6 days ago

Today on 20 January 2023 Google announced that it is laying off 12,000 employees because of difficult economic conditions.  Sundar Pichai, the CEO of Google, wrote in an email to his employees that the company had undertaken a rigorous review across product areas and functions to ensure that people and roles were aligned with the most important priorities. In his email, Sundar Pichai thanked all the employees who are leaving for their contribution to the company.

With Microsoft, Amazon, Meta, and Twitter also cutting their workforces, Google’s decision to lay off 12,000 employees comes amid a major churn in the tech sector.

Sundar Pichai’s full email to his employees is given below

Googlers,

I have some difficult news to share. We’ve decided to reduce our workforce by approximately 12,000 roles. We’ve already sent a separate email to employees in the US who are affected. In other countries, this process will take longer due to local laws and practices.

This will mean saying goodbye to some incredibly talented people we worked hard to hire and have loved working with. I’m deeply sorry for that. The fact that these changes will impact the lives of Googlers weighs heavily on me, and I take full responsibility for the decisions that led us here.

Over the past two years, we’ve seen periods of dramatic growth. To match and fuel that growth, we hired for a different economic reality than the one we face today.

I am confident about the huge opportunity in front of us thanks to the strength of our mission, the value of our products and services, and our early investments in AI. To fully capture it, we’ll need to make tough choices. So, we’ve undertaken a rigorous review across product areas and functions to ensure that our people and roles are aligned with our highest priorities as a company. The roles we’re eliminating reflect the outcome of that review. They cut across Alphabet, product areas, functions, levels and regions.

By the Googlers who are leaving us: Thank you for working so hard to help people and businesses everywhere. Your contributions have been invaluable and we are grateful for them.

While this transition won’t be easy, we’re going to support employees as they look for their next opportunity.

In the US:

  • 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 the 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.

As an almost 25-year-old company, we’re bound to go through difficult economic cycles. These are important moments to sharpen our focus, re-engineer our cost base, and direct our talent and capital to our highest priorities.

Being constrained in some areas allows us to bet big on others. Pivoting the company to be AI-first years ago led to groundbreaking advances across our businesses and the whole industry.

Thanks to those early investments, Google’s products are better than ever. And we’re getting ready to share some entirely new experiences for users, developers, and businesses, too. We have a substantial opportunity in front of us with AI across our products and are prepared to approach it boldly and responsibly.

All this work is a continuation of the “healthy disregard for the impossible” that’s been core to our culture from the beginning. When I look around Google today, I see the same spirit and energy driving our efforts. That’s why I remain optimistic about our ability to deliver on our mission, even on our toughest days. Today is certainly one of them.

I’m sure you have many questions about how we’ll move forward. We’ll be organizing a town hall on Monday. Check your calendar for details. Until then, please take good care of yourselves as you absorb this difficult news. As part of that, if you are just starting your work day, please feel free to work from home today.

Sundar

Shruti Jain

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