Another super giant announced: tens of thousands of layoffs!

Zhi Li, a reporter from China Fund News, partially integrated The Beijing News and CBN.

The cold winter in Silicon Valley is ac

Another super giant announced: tens of thousands of layoffs!

Zhi Li, a reporter from China Fund News, partially integrated The Beijing News and CBN.

The cold winter in Silicon Valley is accelerating! After Microsoft and Amazon, Google's parent company announced that it would lay off about 1.2 million people, accounting for 6% of the company's total employees. This is the largest round of layoffs in the company's history.

Received a letter of redundancy in the middle of the night.

Google's parent company will lay off 6.5438+0.2 million people.

According to a report by CNN on the 20th local time, Google's parent company Alphabet announced that it would lay off about1.2000 employees, accounting for 6% of the company's total employees. The layoffs cover technology, products, human resources and other departments, which is the largest round of layoffs in the company's history.

At 2am local time on 20th, Google CEO Sundar Pichai issued a letter to employees, while most American employees were sleeping.

Among them, the layoffs in the United States will take effect immediately, while in other countries, according to local laws and practices, the layoff process takes longer. The company disclosed that the compensation scheme in the United States includes that the laid-off employees will receive a severance payment equivalent to 65,438+06 weeks' salary within at least 60 days' notice period, and in addition, employees will receive an additional two weeks' salary compensation for each year of work.

In a letter to employees, Pichai wrote: "In the past two years, we have witnessed an amazing growth period. In order to match and promote this growth, we have done a lot of recruitment, but now the real environment we face is completely different. " The layoffs involve various business segments and different regions of Google, and the recruitment departments and projects outside the core business are more affected. Pichai mentioned ai many times in his email, saying that there are many opportunities in the field of artificial intelligence, which is the key area of Google's investment. "In order to fully seize this opportunity, we have conducted a rigorous review of product areas and functions to ensure that our people and roles are consistent with the highest priorities of our company."

In addition, Pichai apologized for the layoffs. "The fact that layoffs will affect the lives of Google employees makes me feel deeply heavy, and I take full responsibility for the decision to lay off employees."

In terms of compensation for layoffs, Alphabet will continue to pay employees during the entire notice period (at least 60 days). The company provides severance pay, starting salary 16 weeks, and compensation increases by two weeks for every year of working time at Google. The company will pay bonuses in 2022, and unused holidays will be discounted in cash. In addition, the company will provide medical care, job placement services and immigration support for the affected employees for six months. Outside the United States, employees will be compensated according to local practices.

The year-end bonus may be delayed.

In addition to layoffs, the year-end awards of some Google employees will also be delayed. In June 5438+10, Google will pay 80% bonus to eligible full-time employees, and the remaining 20% will be paid in March or April. Bonus payment in April (that is, the second quarter) may enable the company to share the cost. Previously, Google employees could get full bonuses in 65438+ 10.

In June last year, 5438+065438+ 10, Christopher Horn, the founder of TCI, a British hedge fund, one of Alphabet's major shareholders, issued an open letter, urging Alphabet to significantly lay off staff and reduce salary to reduce operating costs.

"We wrote to express our view that the cost base of the alphabet is too high and management needs to take drastic measures." Horn said that since 20 17, the number of employees of Alphabet has increased rapidly, reaching nearly187,000 by the end of the third quarter of this year, doubling on the basis of 20 17. He believes that from the past employee growth rate and business needs, personnel growth has been "excessive".

According to US GAAP, Google's total revenue in the third quarter of 2022 was $69.092 billion, an increase of 6% compared with $6,565,438+0./kloc-0. 8 billion in the same period last year. However, the net profit in the third quarter was $65,438+0.39/kloc-0.0 billion, down 26.5% from $65,438+0.8936 million in the same period of last year. Diluted earnings per share was $65,438+$0.06, compared with $65,438+$0.40 in the same period last year.

Under the influence of layoffs and delays in issuing year-end bonuses, Google rose by more than 5%. But in the long run, Google has been fluctuating and falling since 2022. Up to now, the stock has reported $98.02, with a total market value of 1.27 trillion.

American technology giants are now "slimming down"

Chill! In response to the downward pressure on the economy, American technology companies have experienced a "wave of layoffs." In addition to Google, a number of technology giants have recently announced that they will lay off employees.

18 10/8 18, the American technology giant Microsoft announced that it would lay off 1000 people worldwide before the end of March, accounting for about 5% of the total number of employees, in order to cope with the bad economic situation and changes in customer demand. Layoffs and related changes will lead to a revenue loss of $6543.8+$200 million in the fourth quarter of 2022. Microsoft said that layoffs are in response to "changes in the macroeconomic situation and customer priorities." However, Satya Nadella, CEO of Microsoft, said that she would continue to recruit in "key strategic areas".

At the beginning of 65438+ 10, Amazon announced that it would lay off more than10.8 million employees, which is the largest layoff in the company's history. Andy Jassy, CEO of Amazon, said in a memo to employees: "Amazon has experienced an uncertain and difficult economic situation in the past, and we will continue to do so. These changes will help us seek long-term opportunities with a stronger cost structure. " "Large-scale layoffs are aimed at reducing corporate costs to meet long-term development challenges."

Meta, the parent company of Facebook, an American social networking giant, announced in June last year that it would lay off more than 1 1000 people, accounting for 13% of the company's total number. This is the first large-scale layoffs in the company's 18 history.

From this point of view, among the five major technology giants in the United States, Apple, Microsoft, Google, Amazon and Meta, only Apple has not yet reported a layoff plan.

In addition, Cisco, Intel, Hewlett-Packard, Qualcomm, Saffron, etc. Plans for layoffs have been announced. 65438+1October 5th news, according to The New York Times, American commercial software company Salesforce said that due to economic concerns, the company plans to cut 10% jobs, that is, about 8,000 employees, and reduce office space. Marc benioff, the company's co-CEO, said, "We hired too many people, which led to the economic recession we are facing now, and I am responsible for it."

Editor: Captain