Google’s parent company is axing 12,000 jobs around the world, stoking new fears about a global economic slowdown. It’s the latest tech giant to scale back after years of growth. Google’s parent company, Alphabet Inc., announced on Friday that it would be cutting 12,000 jobs across its global workforce. The layoffs amount to about 6% of the full-time employees and are a result of the “different economic reality” caused by the pandemic.
The news has left many Google employees scrambling for answers as they face an uncertain future. Many long-tenured and recently promoted employees were hit hard by the layoffs, while some high performers and earners reportedly earned up to $1 million in severance packages.
Alphabet’s Area 120 incubator was also severely impacted by the layoffs, as well as Amazon’s Prime Air division, Microsoft’s Halo developers, and other Big Tech companies.
The move comes at a time when tech giants are facing increasing pressure from investors to cut costs and maximize profits. Google is just one of many companies that have had to make difficult decisions in order to stay afloat during these challenging times.
This is a major move for the tech giant and one of the largest layoffs in the industry. The cuts amount to about 6% of Alphabet’s full-time employees, and come as a result of the changing economic reality due to the ongoing pandemic.
The news has been met with shock and sadness from many employees who have long been with the company or had recently been promoted. Many are now scrambling for answers as they try to figure out their next steps. Some of those affected were even earning up to $1 million annually before being laid off.
Alphabet’s in-house incubator, Area 120, was also severely impacted by these layoffs. The incubator was founded in 2016 and has since launched several products such as App Maker and Tables. It is unclear how this will affect future projects from Area 120 going forward.
Google isn’t alone in its decision to let go of thousands of employees; other tech giants such as Microsoft and Amazon have also recently announced large-scale layoffs due to similar economic pressures.
Overall, Google’s decision to cut 12,000 jobs is a sign of the times and a reminder that no company is immune from the effects of an uncertain economy.
