Sundar Pichai, the CEO of Google and its parent company Alphabet, announced in an internal email to employees that the tech company would significantly slow its hiring pace in the second half of 2022. Pichai, who has managed the company since 2015, referred to the uncertain global economic outlook.
Google hired a whopping 10,000 new employees in the second quarter of 2022. The company will consolidate where investments overlap and also streamline processes. Along the way, Pichai urged the workforce to “think more entrepreneurially” and work harder.
According to the Wall Street Journal, Pichai also reiterated in the memo that Google intends to focus on hiring developers, engineers and other key employees for the remainder of the year. Scarcity creates clarity and is a driver for creativity and he looks forward to using this opportunity.
There was nothing to be read in the memo about layoffs, but terms such as consolidation and streamlining point in this direction.
According to TechCrunch, Google did not immediately respond to the request for comment. In the first quarter of 2022, Alphabet’s net income fell 8 percent year-on-year to $16.44 billion. The company plans to announce its second quarter results on July 26.
Other tech companies act similarly
A number of tech companies have laid off employees in the face of the looming recession, including Microsoft, Tesla, Google and Facebook’s parent company Meta. In an internal posting, its Head of Engineering had instructed the managers in his department to identify and fire underperforming employees.
The CEO of Snap Inc. also recently informed his employees that fewer new employees would be hired for the time being. Like Pichar, he gave the uncertain global economic outlook as the reason.
To home page