Google’s parent company Alphabet to cut 12,000 jobs

Google’s parent company, Alphabet, is slashing an estimated 12,000 jobs, marking the latest round of sweeping layoffs to strike the technology industry.

CEO Sundar Pichai informed workers Friday about the staff reductions in an email that was also shared on the company’s news blog. The jobs being shed “cut across Alphabet, product areas, functions, levels and regions,” he said.

The impact on Google’s New York City campus is not yet clear.

The “roles we’re eliminating reflect the outcome” of a “rigorous review,” the CEO continued. Ultimately, the cuts will reduce the company’s workforce by about 6%.

“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,” Pichai said.

Laid-off staff will receive a severance package starting at 16 weeks salary plus two weeks for every additional year at Google, in addition to six months of health care, job placement services and immigration support for those who need it.

Pichai cited the changing “economic reality” in announcing the layoffs. He specifically pointed to the surge in online activity triggered by the COVID+19 pandemic, which has waned in the months since lockdowns were lifted.

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

Pichai added: “Being constrained in some areas allows us to bet big on others.”

The announcement comes just days after Microsoft announced 10,000 job cuts, or a nearly 5% reduction of its workforce. Facebook parent company Meta is also shedding 11,000 positions, or 13% of its workers, while business software maker Salesforce is slashing about 8,000 employees, or 10% of its staff.

New Twitter CEO Elon Musk reduced the social media company’s workforce by nearly 50% upon acquiring the company back in October. This translated to about 3,700 jobs lost. Amazon has also announced it will cut 18,000 of its 1.5 million jobs.

With New Wire Services