Technology
Thursday, January 11th, 2024 3:11 pm EDT
Key Points
- Job Cuts and Efficiency Drive at Google: Google recently implemented a significant round of job cuts, affecting several hundred employees across various divisions. The move is part of Google’s ongoing efforts to enhance efficiency and concentrate on its “biggest product priorities.” The impacted areas include Google’s hardware and central engineering teams, as well as workers associated with Google Assistant, the voice-activated software product. The company indicates that other parts of the organization were also affected by these layoffs, reflecting a broader initiative to streamline operations.
- Cost-Cutting Measures and Shifting Priorities: This announcement marks Google’s latest attempt to rein in its workforce, addressing the substantial headcount growth pursued during the pandemic. Last January, Google reduced its workforce by 12,000 people, constituting roughly 6% of its full-time employees. The company has been strategically realigning its focus, particularly prioritizing developments in artificial intelligence (AI). Recent AI-related product launches, such as the chatbot Bard and the large language model Gemini, reflect Google’s effort to stay competitive in the tech industry, where rivals like Microsoft and Amazon are also actively advancing in similar domains.
- Reaction from Alphabet Workers Union and Prior Diversity Cuts: The Alphabet Workers Union expressed disappointment and criticized the recent layoffs at Google, deeming them “needless.” The union, in a statement on X (formerly Twitter), emphasized the dedication of its members to building great products for users and called for job security amid the company’s continued profitability. Additionally, the article highlights that Google made significant cuts to its diversity, equity, and inclusion programs in the previous year. These factors underscore the challenges faced by Google in balancing efficiency measures, strategic shifts, and employee concerns in a dynamic and competitive tech landscape. The news of the job cuts was initially reported by 9to5Google and Semafor.
Late Wednesday night, Google implemented job cuts impacting several hundred employees as part of its ongoing efforts to enhance efficiency and focus on its “biggest product priorities.” These layoffs affect teams within Google’s hardware and central engineering divisions, as well as individuals working on Google Assistant, the voice-activated software product. Other areas of the company were also affected. This move follows Google’s previous cost-cutting initiatives, including a reduction of 12,000 employees (approximately 6% of its full-time workforce) in January last year. The company has been recalibrating its expansion strategy, particularly with regard to dramatic headcount growth during the pandemic. Despite these adjustments, shares of Google, owned by Alphabet, showed a minimal increase of less than 1% on Thursday.
This recent announcement aligns with Google’s broader objective of streamlining operations and allocating resources to key product priorities. The company has been actively shifting its focus toward developments in artificial intelligence (AI), introducing products such as the chatbot Bard and the language model Gemini to keep pace with competitors like Microsoft and Amazon. Google spokespersons emphasized that these organizational changes, including role eliminations, are part of ongoing efforts to enhance efficiency and align resources with strategic goals.
It’s worth noting that Google faced scrutiny last year for substantial cuts to its diversity, equity, and inclusion programs. The Alphabet Workers Union expressed disappointment and criticized the latest round of layoffs at Google, calling them “needless” in a statement on X (formerly Twitter). The union voiced concerns about the company letting go of employees while continuing to generate significant profits. Google, however, remains committed to optimizing its workforce and operations to thrive in dynamic technological landscapes. The job cuts were initially reported by 9to5Google and Semafor. The situation underscores the challenges and strategic shifts faced by tech giants as they navigate evolving market conditions and competition while striving to maintain organizational efficiency.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/01/11/google-layoffs-hundreds-of-jobs-cut-across-engineering-and-hardware.html
