Google is laying off an unspecified number of workers in its latest round of cuts as the company continues to self-scrutinize costs, efficiency, and operations.
As part of the upcoming changes, Google is reportedly considering moving away from its more expensive locations to cheaper hubs in regions such as India, Chicago, Atlanta, and Dublin.
The internal memo shared by CFO Ruth Porat and seen by CNBC reveals that artificial intelligence has yet again impacted the company’s workforce, and not for the better.
Google laying off and relocating due to costs, AI
Porat wrote (via CNBC): “The tech sector is in the midst of a tremendous platform shift with Al.” The CFO said that the company has had to focus on offering better solutions for its customers, which has resulted in some “tough decisions” regarding its workforce.
The restructuring will affect finance teams from offices around the world, including in the Asia-Pacific region and Europe, the Middle East and Africa, as well as its key locations in the Americas.
Porat revealed plans for new centralized hubs in Bangalore, Mexico City, Dublin, Chicago, and Atlanta, but affirmed that the company would still maintain a significant presence in the San Fransisco Bay Area, where its headquarters is located.
Other reports have indicated that Google’s real estate and finance departments have been affected (via Reuters).
Already this year, Google has laid off more than 1,000 workers (via layoffs.fyi), with CEO Sundar Pichai hinting that more would follow. Amazon, Microsoft, and Tesla workers have also seen significant cuts in recent months.
Google shared the following statement with TechRadar Pro in an email, adding that reorganizations of workforce are part of the normal course od business:
"As we’ve said, we’re responsibly investing in our company's biggest priorities and the significant opportunities ahead. To best position us for these opportunities, throughout the second half of 2023 and into 2024, a number of our teams made changes to become more efficient and work better, remove layers and align their resources to their biggest product priorities. Through this, we’re simplifying our structures to give employees more opportunity to work on our most innovative and important advances and our biggest company priorities, while reducing bureaucracy and layers."
Impacted workers will also be able to apply for open roles across other Google businesses.
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