Recession: After Twitter-Facebook-Amazon, there will be layoffs in Google too? The company can take this step to reduce the cost.
Big IT companies are facing a possible recession these days. To reduce costs, these companies are running the sword of retrenchment on employees. A large number of employees are being fired in companies like Twitter, Meta, Amazon. Meanwhile, similar news has also come out from Google.
In fact, activist investor TCI Fund Management has asked Google’s parent company Alphabet to reduce its workforce to cut costs. The investor, who has held a six billion stake in Alphabet since 2017, has told the company that the company has too many employees and the cost per employee is too high.
Employees increasing with 20 percent increase since 2017
Investor TCI has said that Alphabet pays high salaries to many of its employees. Along with this, in terms of recruitment, the company has increased by 20 percent continuously since 2017 and is doubling it, which needs to be reduced. However, no comment has been made in this matter by Alphabet yet.
Alphabet will cut recruitment by more than half
Let me tell you, these days Alphabet is struggling with the problem of spending cuts by advertisers. In such a situation, the company had said in late October that it planned to cut recruitment by more than half.
Need to cover costs
In a letter to the management and board, Alphabet’s shareholder said there is a need to discipline costs now, as revenue growth slows. Costs exceeding revenue growth is a sign of poor financial discipline.
How many employees were laid off from where
According to the information, so far 3700 people have been fired from Twitter. At the same time, Meta has also shown the way out to 11,000 employees. Same is the case with Microsoft, where about one thousand employees have been retrenched. Apart from this, Netflix has fired around 500, Snapchat has fired 1500 employees. Amazon can also lay off 10,000 employees.