The streak of tech layoffs continues as Googles Parent Alphabet, on Friday, announced to lay off its 12000 employees. This accounts for 6% of its workforce, shaking the technology sector to its core. The decision is expected to fuel the rising economic certainties around the business world as well as question the job security among employees.
Googles Parent Alphabet Catering to a Different Economic Reality
In a recently released staff memo, Sundar Pichai (CEO of Googles Parent Alphabet) said that the tech giant had been consistently expanding its headcount in recent years.
“The expansion was for a different economic reality than the one we face today. I take the full responsibility for the decisions that led us here.”
The layoffs are global and are expected to immediately impact the staff in the United States. They will also affect the operations of recruiting, engineering, and product teams as well as some corporate functions. As per the memo, Alphabet has already informed the affected employees regarding the same. However, the process will take longer in some countries given their stringent local employment laws and practices.
The Streak of Tech Layoffs
The decision came days after Googles Parent Alphabet’s arch-rival Microsoft announced to release 10,000 workers on Wednesday. On the same day, Amazon also revealed its plans of releasing 18,000 employees. Moreover, under the leadership of Elon Musk, Twitter has also added fuel to the fire. Since Musk took over as the CEO last year, the company has let off more than half its headcount.
Citing investments in artificial intelligence as one of the reasons behind the tough call, Sundar Pichai said,
“I am confident about the huge opportunity in front of us thanks to the strength of our mission, the value of our products and services, and our early investments in artificial intelligence.”
