F.P. crewNovember 23, 2022, 09:03:20 IST
Google has become the latest tech company to announce a workforce cut. Alphabet, Google’s parent company, recently announced that it would lay off about 10,000 or 6 percent of its workforce, after identifying “underperformers” across various teams and verticals.
report from the information Managers across various sectors at Google were allegedly asked to analyze and rank “underperforming” employees in their teams. Google will use a rating system to analyze its performance, and lower-ranking employees are expected to be fired from the company.
Google has seen a significant uptick in hiring in the past quarter. Experts have warned Google that its workforce is inflated in addition to salaries. Billionaire activist investor Christopher Hohn has claimed that Google employees get paid a lot more, compared to the rest of the industry. He claimed that the staffing exceeded the actual need of the company.
Google announced earlier that it will slow the hiring process in the last quarter of the year. However, the economy appears to have pushed the “employee-friendly” company into a wave of layoffs three times the size of what would normally be expected from Google.
Currently, Alphabet employs approximately 1,87,000 employees, making it one of the largest employers in the technology industry. A filing from the US Securities and Exchange Commission revealed that the average annual salary of a Google employee is around $295,884 or roughly Rs.2.41 crore.
Google is seeing a steady decline in profits. The company posted a net profit of $13.9 billion in the fourth quarter, down 27 percent from a year ago. This decline came despite a 6 percent increase in total revenue to $69.1 billion.
Meta, Twitter, Amazon and many other prominent US tech companies are on a mission to downsize. Most companies recorded their biggest layoffs ever just in the last month. Meta has laid off more than 11,000 employees, Twitter is left with less than a third of its entire workforce, and Amazon is also expected to continue laying off workers through 2023.