Google prioritizes AI over human labour: Trims its Workforce

AI Takes Center Stage: Google Allocates $75 Billion While Reducing Staff
AI Takes Center Stage: Google Allocates $75 Billion While Reducing Staff
Reportedly, it has been noted that Google is giving out voluntary leave options to many US-based employees as part of their reducing workforce strategy.

The voluntary layoff will ensure 14 weeks of regular salary after their last working day along with healthcare benefits for several months thereafter.

Several staff members across departments such as HR, finance, legal, ads, marketing, and research have been handed voluntary termination. Even the Knowledge and Information Team which earlier had about 20,000 employees are planning to cut down on their huge workforce.

Nick Fox, Google’s Executive of Knowledge & Information team has firmly stated that they have far reaching plans and lofty goals to achieve. If employees are underperforming they can freely walk out. This seems like a deliberate move to secure Google’s long term plans.

Reasons behind this Massive Layoff

There are several reasons behind Google’s move. Firstly, it wants to cut down on the large number of personnel that it hired during the pandemic.

Moreover, the current CFO Anat Ashkenazi has given her opinion on trimming expenses and assigning them in other AI driven projects.

Google devices to allocate a huge amount of budget and capital, approximately over $75 billion towards development of Artificial Intelligence Infrastructure and projects in the upcoming months. Other issues like inflation, GDP and high interest rates are impacting such decisions.

With the rise of AI’s use in every field, Google has further decided to launch a learning platform for its employees. This will train the employees in modern usage of AI tools which will be necessary in their work programs.

Realignment in Work Type

Some departments have informed that a mandate has been imposed on remote employees who are now required to come to office, in person. These people who live around 50 miles away from their office are now required to work in a hybrid mode.

Reactions to Google’s Voluntary Layoff

A huge number of employee reductions have been in operation since the past few years, i.e 2023 and 2024. It is known that at least 200 employees have been handed severance letters in the last month.

This drastic job cut has worried the employees. There is an increasing anxiety among the staff regarding more workload, along with an underlying pressure to perform well and competition in order to keep their job secured.

About Samadrita Dutta 14 Articles
Samadrita Dutta is a News contributor at Panasiabiz.com. She is a Mass Communication and Videography Student. Her inquisitive nature drives her passion for journalism and content creation, pushing her to present complex stories with clarity and impact.

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