According to some sources, Alphabet, the owner of Google, plans to soon lay off about 10,000 employees whose performance is “poor” in the eyes of the company. Alphabet’s new system designed to manage employee performance will allow the company’s internal managers to fire thousands of underperforming employees starting early next year.
to report Independent, Alphabet managers are asked to use the new system to identify 6 percent of Alphabet’s total workforce (the equivalent of approximately 10,000 people) as underperforming. This system is likely to eventually reduce incentive and reward schemes that are awarded to employees in the form of shares.
Alphabet, like other companies in the technology industry, has faced many problems this year; From the corona virus epidemic to the increase in inflation. Alphabet’s profit in the third quarter of 2022 fell by about 27% compared to the third quarter of 2021. During this period, Alphabet’s earnings per share and revenue were lower than analysts’ expectations.
Sundar PichaiThe CEO of Google said a few months ago that the company has a difficult road ahead and employee productivity should increase. By introducing a new project called “Spring of Simplicity”, he said that the productivity of Alphabet’s forces is not up to expectations and changes should be implemented. In recent weeks, a large number of companies in the technology industry have laid off some of their employees to reduce current costs. Twitter laid off half of its staff, and Meta and Amazon similarly laid off thousands of people.
Alphabet’s retrenchment is said to involve various teams such as data scientists and software engineers. Informed sources say that the staff reduction in this company will begin on January 17, 2023 (27 January 1401).