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GOOGLE CEO SUNDAR PICHAI SAYS SEARCH GIANT HAS SLASHED MANAGER ROLES BY 10% IN
EFFICIENCY DRIVE
By
Thomas Barrabi
Published Dec. 20, 2024, 11:50 a.m. ET
1111 Comments
Google CEO Sundar Pichai reportedly said he has slashed a tenth of the search
giant’s managerial roles since last year as part of a drive to become more
efficient.
In total, Google has reduced the number of managers, directors, and vice
presidents within its workforce by 10%, Pichai said during an all-hands meeting
on Wednesday.
A Google spokesperson said the structural changes described by Pichai are
designed have been rolling out since 2023 and did not represent job cuts beyond
those previously reported.
CEO Sundar Pichai said he has slashed a tenth of Google’s managerial roles since
last year in an effort to become more efficient. Getty Images
Some managers were shifted to individual contributor roles – meaning they are no
longer responsible for other employees.
An unspecified number of other managers were laid off, the spokesperson added.
Insider was first to report on Pichai’s remarks. Shares of Google parent
Alphabet were flat in Friday trading.
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Pichai had previously identified “durable cost savings” as one of Google’s key
goals for 2024.
This year alone, Google has slashed hundreds of jobs across multiple divisions,
including its ad sales team, its core engineering team and the hardware division
responsible for devices such as the Pixel, Nest and Fitbit.
The biggest round of cuts occurred in 2023, when Google cut some 12,000
employees in a major bloodletting.
The restructuring has played out as Google attempts to compete with Sam Altman’s
OpenAI and other burgeoning rivals in the artificial intelligence sector.
Google cut some 12,000 employees in 2023. AFP via Getty Images
Google is also in the midst of several high-profile legal battles that could
upend its business model – including a looming breakup of its search business
after a federal judge ruled it was a “monopolist” last August.
Google is just one of many Big Tech giants that have slashed their workforces in
recent months due to tightened economic conditions and a desire to shift more
resources toward the artificial intelligence race.
11
What do you think? Post a comment.
Mark Zuckerberg famously declared 2023 to be a “year of efficiency” at Meta
while slashing tens of thousands of jobs at the Facebook and Instagram parent.
Meta’s middle managers were reportedly told to shift to individual contributor
roles or leave as part of what was reportedly described internally as
“flattening.”
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* 12/20/24
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