Google CEO Sundar Pichai tells employees to brace for more job cuts: Report

Sundar Pichai. Image/AFP

Google CEO Sundar Pichai has warned employees to brace themselves for more job cuts, The Verge reported citing an internal memo. He stated that company needs to make "tough choices" to create capacity for investments. In an internal memo to all Google employees, Pichai wrote, "We have ambitious goals and will be investing in our big priorities this year." He stated, "The reality is that to create the capacity for this investment, we have to make tough choices."

Since January 10, Google has laid off over a thousand employees in various departments, The Verge reported. In the memo, Pichai wrote, "These role eliminations are not at the scale of last year's reductions, and will not touch every team," a reference to when Google cut 12,000 jobs this time in 2023, the report said. He stated, "But I know it's very difficult to see colleagues and teams impacted."

Pichai said the layoffs in 2024 were about "removing layers to simplify execution and drive velocity in some areas." He said what many inside Google have been fearing: that more "role eliminations" are to come. In the memo, he wrote, "Many of these changes are already announced, though to be upfront, some teams will continue to make specific resource allocation decisions throughout the year where needed, and some roles may be impacted," according to The Verge report.

In 2023, Google and Alphabet CEO Sundar Pichai announced plans to cut approximately 12,000 jobs, which is around 6 per cent of its global workforce. "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," Pichai said in an open letter.

Google's CEO said the company had undertaken a rigorous review across product areas and functions to ensure that their people and roles are aligned with their highest priorities as a company. "The roles we're eliminating reflect the outcome of that review," he added. Pichai had said Google will support employees as they look for their next opportunity. "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," he added.

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