Google has apparently developed another another structure that aims to fire 10,000 underperforming employees as IT companies continue to suffer from large layoffs in difficult marketing environments.
Beginning early next year, the business plans to roll out a new performance management system that could give managers the authority to fire thousands of its underperforming workers. According to it, supervisors will be required to designate 6% of Alphabet’s workers as poor performers, up from the company’s usual 2 percent. This amount translates to roughly 10,000 workers.
As a result, managers will let rid of workers who obtain negative performance ratings. The ratings can also be used to discontinue awarding stock rewards and incentives.
A billionaire UK investor named Christopher Hohn stated in a letter to Alphabet (Google’s parent company) that the company’s headcount is excessive when compared to hiring trends in the past and does not, therefore, fit the current business circumstances. He also claimed that the salaries of the staff were too high compared to those of their peers at other tech behemoths and that the business could function just as well even with a far smaller number of highly paid specialists. Hohn submitted this letter on behalf of TCI, a hedge fund that owns Alphabet stock valued at $6 billion.
Amazon was said to be ready to fire thousands of workers earlier this month due to the economic downturn, and Facebook owner Meta announced the mass firing of more than 11,000 staff globally.
Source: Christoper Hohn (letter), The Independent
