Google lays off more employees as it pushes investments in AI

google layoffs

The layoff spree in the tech industry is showing no signs of slowing down as Google announced restructuring plans, which involve some employees being laid off. According to a report by CNBC, Ruth Porat, chief financial officer, Google sent a memo to employees informing them about company’s new plans. The layoffs will be impacting employees in Google’s finance division.

“The tech sector is in the midst of a tremendous platform shift with Al,” Porat wrote in the memo, according to the report by CNBC. “As a company, this means we have the opportunity to make more helpful products for billions of users and provide faster solutions to our customers, but it also means we collectively have to make tough decisions, including how and where we work to align with our highest priority areas.” Google didn't confirm the exact number of employees being let go in the latest round of  layoffs.

The restructuring will impact teams around the world, including those in Asia-Pacific, Europe, and the Middle East, according to the report. Google also plans to create more centralised hubs in Bangalore, Dublin, Mexico City, Atlanta and Chicago.

In her note, Porat said that change is difficult and the company is sad after laying off employees. “We are sad to say goodbye to some talented teammates and friends we care about, and we know this change is difficult,” she said.

Tech giants continue to cut jobs in 2024. Companies like Tesla, Apple, and Amazon have implemented restructuring plans, leading to tens of thousands of layoffs globally.  2024 job cuts come after a rough 2023 where thousands of employees were laid off. While the pace may be slower than last year, reports suggest over 58,000 tech workers have been laid off so far in 2024.

At the beginning of the year, Google CEO Sundar Pichai had warned about layoffs continuing through 2024.

Also read: Google employees arrested after protests against company working with Israel

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