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Why is Google buying out its employees?
Why is Google buying out its employees?

The Hindu

time3 days ago

  • Business
  • The Hindu

Why is Google buying out its employees?

The story so far: Google has taken action to reduce its workforce across departments, by using a mix of strategies. These measures involve announcing a voluntary exit programme for several teams based in the U.S., and mandating a hybrid work schedule for remote workers who live within 50 miles of an approved office. Other employees have also reportedly been affected by layoffs. What is Google's employee buyout programme? According to an internal memo shared by Business Insider, the Senior Vice President of Core Systems at Google, Jen Fitzpatrick, said the company was offering a Voluntary Exit Program (VEP) for Core Googlers in the U.S. This means that eligible Google employees, called Googlers, will be allowed to resign and also receive severance pay. 'The Voluntary Exit Program may be a fit Core Googlers who aren't feeling excited about and aligned with Core's mission and goals, or those who are having difficulty meeting the demands of their role,' said Fitzpatrick. The buyout option was offered to employees in Google's Knowledge & Information and central engineering teams. Those in the marketing, research, and communications teams could also avail the option, per CNBC. This is not the first time Google has offered a voluntary exit to workers; the company had proposed buyouts to eligible U.S.-based employees in its People Operations department and its Platforms and Devices group, per media reports. Employee buyouts are a less drastic way for companies to reduce their headcount, although the exact number of departing employees is hard to predict. Because employees choose to leave, this strategy triggers less bad press than a mass layoff. It further reduces the risk of fired employees legally challenging their termination. In the case of large layoffs, U.S. companies may have to provide advance notice to the relevant labour regulators. As noted by Fitzpatrick, employee buyouts can help filter out workers who are only keeping their jobs for financial reasons and would prefer to go elsewhere with a safety net in the form of severance pay. In early 2023, when Google announced it was cutting around 12,000 jobs or about 6% of its workforce, it faced significant backlash. Since then, Google has carried out smaller layoff rounds across its voice assistant units, hardware teams (Pixel/Nest/Fitbit) advertising sales team, and its AR team. Earlier this week, the live layoffs tracker claimed that 75 Google employees were to be laid off, citing a report by The Information. How does this impact engineers in the K&I team? Employees in K&I, who work on Google Search, Ads, Geo, and Commerce products, were offered employee buyouts, according to the Business Insider report. Google is investing heavily in Generative AI and rapidly infusing its offerings with AI features so that it can better compete with rivals such as OpenAI. Google's Knowledge & Information team further launched AI Overviews, Circle to Search, video understanding, 'shop what you see' in Lens, and improvements to Search functionality, according to Alphabet CEO Sundar Pichai. However, the tech giant is facing antitrust lawsuits over its growing dominance in market sectors such as search and ad networks. Google's potential antitrust issues in the AI market have also been flagged by the U.S. Department of Justice (DOJ). What is Google's new remote work policy? In addition to the employee buyouts across several divisions, Google confirmed that multiple teams were asking remote employees to transition to a hybrid work schedule where they would spend three days in office. This can also serve to trigger employee resignations, with labour advocates sometimes terming this strategy as 'backdoor layoffs.' The internal memo sent to Core Googlers cited reasons such as 'connection, collaboration, and moving quickly to innovate together,' for bringing more employees back to the office. However, Fitzpatrick claimed that the company's intention was not to reduce the number of Core Googlers, and that it was aimed instead at internal mobility and creating growth opportunities. Which other companies are reducing their headcount? Apart from Google, other major tech companies that let go of employees in recent weeks include Intel and Microsoft. Intel is planning to shut down its small automotive business and cut most workers there, according to a report from the Oregon Live/The Oregonian. Another report from the outlet cited an internal memo to claim that Intel is planning to lay off about 15% to 20% of its factory workers. Meanwhile, Microsoft is planning major cuts in its gaming division Xbox, according to Bloomberg. Early this month, the company confirmed it would cut about 305 jobs. This came even after Microsoft laid off around 6,000 employees in May, or about 3% of its global workforce. What other challenges is Google facing? In the coming months, U.S. Judge Amit Mehta is expected to consider proposed remedies by the U.S. DOJ and Google itself to curb Google's status as an illegal monopoly in some search markets. The DOJ has favoured measures such as the forced divestment of Chrome and the formation of a Technical Committee to oversee Google's legal compliance. The tech giant naturally supports more lenient measures that do not significantly damage its lucrative business or its top position in the search market. It remains to be seen whether Judge Mehta's ruling will vindicate the DOJ or Google. But as Google's AI competitors floor the accelerator, the Big Tech giant is still trying to move forward, albeit with a leaner workforce.

Sundar Pichai's Google issues warning to these employees over..., tells them to leave or...
Sundar Pichai's Google issues warning to these employees over..., tells them to leave or...

India.com

time14-06-2025

  • Business
  • India.com

Sundar Pichai's Google issues warning to these employees over..., tells them to leave or...

Sundar Pichai's Google issues warning to these employees over…, tells them to leave or… Google Warns Its Employees: For some months, the American multinational technology company Google has been trying to end its Work From Home policy by tightening its return-to-office norms across several divisions. The company wants its remote employees who live within 50 miles to come to the office and work on-site at least three days per week. Employees who act stubborn and ignore this directive may face potential job loss. The tech giant has broadened its restructuring efforts, offering voluntary severance packages to US employees in several key departments, including search, marketing, research, and core engineering. The New Policy To Affect These Employees The new policy affects employees in Google's Knowledge & Information division, which houses Search, ads and commerce operations, as well as Core engineering teams. Remote workers who live within 50 miles of approved Google offices must now transition to a hybrid 3-day schedule by September or accept severance packages.'When it comes to connection, collaboration, and moving quickly to innovate together, there's just no substitute for coming together in person,' said Jen Fitzpatrick, Senior Vice President of Core Systems, in an internal memo obtained by multiple outlets. The return to office policy is going to affect employees working in Google's Knowledge & Information division, which looks after Search, ads and commerce operations and Core engineering teams. Remote workers who are living under a 50 miles radius have to come to office for on-site work for at least three days or accept severance packages. This policy will come in force by September. Jen Fitzpatrick, Senior Vice President of Core Systems, in an internal memo, said, 'When it comes to connection, collaboration, and moving quickly to innovate together, there's just no substitute for coming together in person.' Push In-Person Collaboration Strategy Google's Knowledge & Information group head Nick Fox talked about the company's focus on having fully engaged workforce, while also providing a voluntary exit program for employees who are underperforming or misaligned with the company's strategic direction. 'My goal is for every single one of us here to be all-in on building the future of our products,' Fox's memo to staff read. 'This VEP offers a supportive exit path for those of you who don't feel aligned with our strategy, don't feel energized by your work, or are having difficulty meeting the expectations of your role,' the memo further read. Google's To Eliminate Remote Work Culture The announcement was made as a part of Google's ongoing efforts to reduce remote work flexibility. In April 2025, the company started informing remote workers in various divisions to start working from office or face elimination. Following 2023 layoffs affecting 12,000 employees, Google initiated selective employee buyout programs in early 2025. Concurrently, the company is hiring while restructuring to prioritize AI development and infrastructure, excluding certain divisions—DeepMind, Google Cloud, YouTube, and core advertising sales—from these buyout initiatives. However, YouTube is separately mandating a return to the office for some nearby remote workers.

Google gives these employees three-days ‘warning' to …. or leave the company
Google gives these employees three-days ‘warning' to …. or leave the company

Time of India

time13-06-2025

  • Business
  • Time of India

Google gives these employees three-days ‘warning' to …. or leave the company

Google is tightening its return-to-office policies across multiple divisions, requiring remote employees within 50 miles of company offices to work on-site at least three days per week or face potential job loss. The tech giant announced the expanded mandate alongside voluntary buyout programs for US-based workers in Search, marketing, research, and core engineering teams. The new policy affects employees in Google's Knowledge & Information division, which houses Search, ads and commerce operations, as well as Core engineering teams. Remote workers who live within 50 miles of approved Google offices must now transition to a hybrid 3-day schedule by September or accept severance packages. "When it comes to connection, collaboration, and moving quickly to innovate together, there's just no substitute for coming together in person," said Jen Fitzpatrick, Senior Vice President of Core Systems, in an internal memo obtained by multiple outlets. Google executives push in-person collaboration strategy by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Memperdagangkan CFD Emas dengan salah satu spread terendah? IC Markets Mendaftar Undo Nick Fox, head of Google's Knowledge & Information group, emphasized the company's commitment to having fully engaged employees. "My goal is for every single one of us here to be all-in on building the future of our products," Fox wrote in his memo to staff. The executive made clear that high-performing employees should remain with the company, stating: "If you're excited about your work, energized by the opportunity ahead, and performing well, I really (really!) hope you don't take this!" However, Fox also offered an alternative for struggling employees: "This VEP offers a supportive exit path for those of you who don't feel aligned with our strategy, don't feel energized by your work, or are having difficulty meeting the expectations of your role." Google's crackdown on remote work continues This announcement builds on Google's ongoing efforts to reduce remote work flexibility. In April 2025, the company began requiring remote workers in various divisions to return to offices or face elimination of their positions, with some employees receiving relocation assistance to move within 50 miles of company facilities. Google has been conducting targeted buyout programs since early 2025, following widespread layoffs in 2023 that eliminated 12,000 positions. The company continues hiring while streamlining operations to focus resources on artificial intelligence development and infrastructure investments. The policy excludes employees in DeepMind, Google Cloud, YouTube, and central advertising sales divisions, though YouTube separately requires office returns for nearby remote workers. AI Masterclass for Students. Upskill Young Ones Today!– Join Now

Google Offers Buyouts for Search, Engineering Teams
Google Offers Buyouts for Search, Engineering Teams

Entrepreneur

time11-06-2025

  • Business
  • Entrepreneur

Google Offers Buyouts for Search, Engineering Teams

Google also mandated that some remote workers return to the office. Google is offering buyouts to some U.S.-based employees on Tuesday, including those working on search, ads, and commerce, as the tech giant attempts to reduce headcount. Google is also mandating that some remote employees return to the office. Business Insider obtained a memo sent from Google's senior vice president of core systems, Jen Fitzpatrick, to employees on Tuesday. In the memo, Fitzpatrick wrote that Google would offer a voluntary exit program or buyouts for employees who wish to leave the company of their own accord, with severance pay. Some Google teams, including the core systems team, are also requiring all remote employees who live within 50 miles of an office to return to the office on a hybrid schedule. Related: Google's CEO Is Spending His Free Time 'Vibe Coding' a Webpage with AI: 'I've Just Been Messing Around' The voluntary exit program is a good fit for Googlers "who aren't feeling excited about and aligned" with Google's mission and goals, or those who "are having difficulty meeting the demands of their role," Fitzpatrick explained in the memo. "We need everyone to show up with an unparalleled sense of energy and enthusiasm," Fitzpatrick wrote. Google CEO Sundar Pichai. Photo by Klaudia Radecka/NurPhoto via Getty Images The buyouts apply to employees in several Google divisions, including central engineering and marketing, research, and communications. The knowledge and information team, which includes Google's search, ads, and commerce divisions, also has the option to accept the voluntary exit program. It isn't clear how many employees are impacted by the buyouts, though CNBC reports that the knowledge and information team alone has about 20,000 employees. It is also unclear how much the severance packages will be. A mid-level Google employee made $331,894 in 2024. Related: Here's How Much a Typical Google Employee Makes in a Year Google has offered buyouts earlier this year in other units, in some cases before resorting to layoffs. In January, Google gave full-time, U.S.-based Google employees working on the Platform and Devices team, a 25,000-person department that handles Android, Chrome, Pixel devices, and Google Photos, the option to voluntarily exit with a severance package. A few months later, Google conducted layoffs affecting hundreds of employees in that division. In February, Google offered buyouts to employees in People Operations, its human resources division. Mid- to senior-level employees in the department received severance pay of up to 14 weeks' salary, plus one additional week for every year at the company. Google last made widespread job cuts in January 2023, diminishing its workforce by 12,000 employees or about 6% of its global workforce. The tech giant also conducted additional rounds of layoffs in 2024, affecting its business services and treasury teams. Google's global headcount was around 183,000 employees in 2024. Related: Amazon Intends to Spend Over $100 Billion on AI This Year. Here's How It Compares to Google, Meta, and Microsoft.

Google buyouts are being offered to employees on search and other teams as shift to AI ramps up
Google buyouts are being offered to employees on search and other teams as shift to AI ramps up

Fast Company

time11-06-2025

  • Business
  • Fast Company

Google buyouts are being offered to employees on search and other teams as shift to AI ramps up

Google is offering buyouts to certain employees in the United States and requiring more workers to return to offices as it continues to shift toward AI. The 'voluntary exit program,' as Google calls it, is being offered to employees on the communications, core, knowledge and information (which includes search, ads, and commerce), marketing, and research teams, Google confirmed with Fast Company on Wednesday. The buyouts would see Google provide employees with a pay and benefits package in exchange for their exit. 'Earlier this year, some of our teams introduced a voluntary exit program with severance for US-based Googlers, and several more are now offering the program to support our important work ahead,' Google spokesperson Courtenay Mencini said in a statement. 'A number of teams are also asking remote employees who live near an office to return to a hybrid work schedule in order to bring folks more together in-person.' A new era for Google as search habits evolve The exact details of this deal are to follow, according to a memo reportedly sent by Jen Fitzpatrick, senior vice president of core systems. CNBC reports that mid- to senior-level employees in the Peoples Operations unit received up to 14 weeks of their salary plus another week for every completed year on the job during a previous buyout in February. CNBC and Business Insider reported on the memo on Tuesday. Fitzpatrick reportedly stated that AI is 'reshaping everything—our products, our tools, the way we work, how we work, how we innovate and so on.' She continued, 'To meet this transformational moment, we need everyone to show up with an unparalleled sense of energy and enthusiasm for Core's mission, connecting and collaborating at speed so that we can tackle all of the ambitious work we need to do.' Meeting the moment also means being willing to commute up to 50 miles to the office three times a week. In the same memo, Google reportedly announced that all employees within that distance of an 'approved return site' must come in 60% of the time. Taking the stance that workers must show face to perform well, Google reportedly stated, 'We want to ensure Core Googlers are fully committed to being here and actively contributing. These programs will help us be even more focused on our mission and will enable us to operate with greater velocity, efficiency and collaboration.' Meanwhile, Fitzpatrick reportedly noted that the buyouts are for employees 'who aren't feeling excited about and aligned with Core's mission and goals, or those who are having difficulty meeting the demands of their role.' In other words, if you feel behind at work, quitting might be the best option. Though the buyouts are voluntary, they could spell layoffs for those teams. In January, Google offered buyouts to employees in its platforms and devices division, only to lay off hundreds of workers in the unit a few months later. Google also laid off about 12,000 employees in January 2023 and has done multiple rounds of layoffs since.

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