Google has announced another round of job cuts within its people’s operations and cloud departments .
According to a CNBC report, Google has announced a job cut within its people’s operations and cloud departments. This reorganisation comes as part of the company’s ongoing strategy to better allocate resources towards its high-primary AI initiatives. Here is everything you need to know.
Tech veteran allegedly revealed a plan to offer a voluntary exit program for US-based employees in its People’s Operations Division, which oversees human resource functions.
The program set to roll out in early March will allow the mid-to-wide level employees (levels 4 and 5) to leave with a separated package. These packages include salary up to 14 weeks, as well as an additional week for each whole year of service.
The decision follows a large effort to reduce costs despite Google’s finance head, Anat Ashkenazi, despite significant expenses on AI infrastructure. Eshkenazi has recently underlined that driving cost efficiency will be an important priority in the coming year, especially the demand for AI-managed products continues to increase.
Despite a weak-to-fourth quarter income report, the company focuses on capitalization on the increasing demand for AI capabilities.
Along with cutting the operation of people, the cloud division of Google has also been restructured. The company has reduced several teams, especially within operation support, and transferring certain roles to international places like India and Mexico City.
Cloud Unit, which is one of Google’s most attractive business segments, allegedly saw an increase in revenue 30 percent in the fourth quarter. However, Google faces strict competition from industry leaders Amazon Web Services (AWS) and Microsoft Azure, pushing the company to continuously assure its workforce strategy.
While the company confirmed that the changes were part of its regular commercial operations, it assured the employees that the cut would be minimal, in which major sales and engineering roles would be hired.
Google has also reportedly confirmed that it would support the affected employees, providing them opportunities to apply for new roles within the company or to detect purchase options in accordance with local employment laws.
