Google CEO Sundar Pichai cautioned employees to brace themselves for additional job cuts as the tech giant continues implementing cost-cutting measures across various divisions. This announcement follows reports of YouTube, a subsidiary of Google, laying off 100 workers from multiple departments, including engineering, services, and the Google Assistant voice-activated product team.
Last week, Google made headlines for laying off hundreds of employees from its digital assistant, hardware, and engineering teams. In the memo shared with The Verge, Pichai acknowledged that more layoffs are anticipated in the coming year. He explained, “We have ambitious goals and will be investing in our big priorities this year. The reality is that to create the capacity for this investment, we have to make tough choices.”
Pichai clarified that the scale of the role eliminations this year would not match the extensive layoffs experienced in the previous year. However, he acknowledged employees’ difficulty witnessing their colleagues and teams being impacted. According to Pichai, the focus of this year’s layoffs is “removing layers to simplify execution and drive velocity in some areas.”
The CEO disclosed that many changes have already been announced, but some teams will continue to make resource allocation decisions throughout the year, potentially affecting specific roles. The memo indicated that the layoffs are part of a broader strategy to streamline operations and allocate resources more efficiently.
As the tech industry faces economic challenges, several major companies, including Amazon, have also announced layoffs in early 2024. Last week, Amazon disclosed plans to cut jobs, impacting hundreds of staff. However, the number of eliminated positions is lower than last year, when Google cut 12,000 jobs in its first mass layoffs in January.
In 2023, Google and Amazon attributed their layoffs to economic headwinds and a need to realign their workforce with changing consumer behavior. Amazon acknowledged adding workers too quickly in warehouses as online ordering surged, while Google cited insufficient preparation for the prevailing economic conditions.
Despite the ongoing wave of job cuts in the tech industry, there is speculation that the number of laid-off workers may be lower this year, particularly from companies that implemented mass layoffs in the preceding year.