4 ms·

If you've ever wondered, this is not about immediate money concerns. In 2021 Google made $257 billion aka $257 000 000 000. And a profit of $76 bn aka $78 000

by oblio 4y ago

If you've ever wondered, this is not about immediate money concerns. In 2021 Google made $257 billion aka $257 000 000 000. And a profit of $76 bn aka $78 000 000 000. It had 187 000 employees. That works out to $1.3 million income per employee. And a net profit of $406 000 per employee. They don't need to lay off anyone. They just want to. I've seen smaller companies where they first shift employees around, offer everyone a choice, etc. People are only really laid off is things don't work out over many months or even years.

W4ldi 4y ago
> They don't need to fire anyone. They just want to. Why would they want to? If they make so much money, why fire a few people for a massive amount of bad PR? So seem to know the reasoning. Enlighten us please.
- IshKebab 4y ago
  Because Google employees are really really expensive, and this won't generate a massive amount of bad PR because everyone is doing it. It's the ideal time to sack of employees you don't want.
- pm90 4y ago
  Its not bad PR when the narrative has already been set. This is a very opportunistic move at cost reduction that would have been scrutinized heavily under regular circumstances.
- oblio 4y ago
  Everyone's doing it, we might be in a recession, now is the best time. Their announcement both follows a trend and gets lost in the noise, it doesn't stand out as possibly bad management. Plus someone was saying that it reduces inflationary pressures for employees. I.e. you put a lot of people out on the job market and you scare others inside the company, who are now suddenly happy to still have a job, ergo they stop asking as much for raises or for high salaries when they apply. > Why would they want to? Then enlighten me how a <<hugely>> profitable business needs to <<layoff>> large percentages of its workforce???
onlyrealcuzzo 4y ago
Google is a company with a fiduciary obligation to maximize shareholder profits. The average employee laid off is going to have 2 months of work - paid - to find a new job, plus an additional close to ~$80k or so to hold them over til they find a new job. If Google hires people they don't need anymore - regardless of how good they are - are they supposed to just keep them on payroll indefinitely? Why? Why are we feeling sorry for employees with great severance packages who are deep in the global 1%? If the worst thing that happens to you in life is that you get laid off at Google, you've got a great life. Life isn't all roses, there's ups and downs - and some people who were laid off are going to have a hard time, and that's sad. But it's also life.
- oblio 4y ago
  They could shuffle them around for 6-9-12 months first... Now they're just saying "you're bad for our company, period", which is demonstrably false. Some people lost motivation for their current project, current team, current manager, current org, etc, they just need a jolt. > Google is a company with a fiduciary obligation to maximize shareholder profits. Yes, both true and also a cop out. We should freaking put it in the legal description of a corporation that they also have social responsibility. Otherwise if you follow your definition to its logical conclusion you end up with the East India Company starving 25% of Bengalis to death because that "maximized shareholder profits" (-.-)
  - onlyrealcuzzo 4y ago
    > We should freaking put it in the legal description of a corporation that they also have social responsibility. Until that happens - people should blame the company, it's the system you have beef with. > Otherwise if you follow your definition to its logical conclusion you end up with the East India Company starving 25% of Bengalis to death because that "maximized shareholder profits" Isn't this essentially what we have now? With US companies employing lots of people in Bangladesh & Philippines for like $2 for 10 hours of labor - living and working in unimaginably poor conditions by Western standards?
    - 4y ago
ehsankia 4y ago
I'm curious why are you looking at 2021 specifically? Isn't the whole idea that 2021 was a huge year for every tech company, leading to overhiring, followed up by 2022 which was a rough year for every tech company? They went from $18.9B profit in Q3 2021 to $13.9B in Q3 2022. That's a 36% YOY drop and given todays news, it's fair to assume Q4 was even worse.
- oblio 4y ago
  Wikipedia shows that number. And even if their profits drop, you can't honestly tell me that they will post a loss for 2022 or even 2023. Heck, their profit margin would still be solid.

by oblio 4y ago

W4ldi 4y ago

> They don't need to fire anyone. They just want to. Why would they want to? If they make so much money, why fire a few people for a massive amount of bad PR? So seem to know the reasoning. Enlighten us please.

IshKebab 4y ago
Because Google employees are really really expensive, and this won't generate a massive amount of bad PR because everyone is doing it. It's the ideal time to sack of employees you don't want.
pm90 4y ago
Its not bad PR when the narrative has already been set. This is a very opportunistic move at cost reduction that would have been scrutinized heavily under regular circumstances.
oblio 4y ago
Everyone's doing it, we might be in a recession, now is the best time. Their announcement both follows a trend and gets lost in the noise, it doesn't stand out as possibly bad management. Plus someone was saying that it reduces inflationary pressures for employees. I.e. you put a lot of people out on the job market and you scare others inside the company, who are now suddenly happy to still have a job, ergo they stop asking as much for raises or for high salaries when they apply. > Why would they want to? Then enlighten me how a <<hugely>> profitable business needs to <<layoff>> large percentages of its workforce???

onlyrealcuzzo 4y ago

Google is a company with a fiduciary obligation to maximize shareholder profits. The average employee laid off is going to have 2 months of work - paid - to find a new job, plus an additional close to ~$80k or so to hold them over til they find a new job. If Google hires people they don't need anymore - regardless of how good they are - are they supposed to just keep them on payroll indefinitely? Why? Why are we feeling sorry for employees with great severance packages who are deep in the global 1%? If the worst thing that happens to you in life is that you get laid off at Google, you've got a great life. Life isn't all roses, there's ups and downs - and some people who were laid off are going to have a hard time, and that's sad. But it's also life.

oblio 4y ago
They could shuffle them around for 6-9-12 months first... Now they're just saying "you're bad for our company, period", which is demonstrably false. Some people lost motivation for their current project, current team, current manager, current org, etc, they just need a jolt. > Google is a company with a fiduciary obligation to maximize shareholder profits. Yes, both true and also a cop out. We should freaking put it in the legal description of a corporation that they also have social responsibility. Otherwise if you follow your definition to its logical conclusion you end up with the East India Company starving 25% of Bengalis to death because that "maximized shareholder profits" (-.-)
- onlyrealcuzzo 4y ago
  > We should freaking put it in the legal description of a corporation that they also have social responsibility. Until that happens - people should blame the company, it's the system you have beef with. > Otherwise if you follow your definition to its logical conclusion you end up with the East India Company starving 25% of Bengalis to death because that "maximized shareholder profits" Isn't this essentially what we have now? With US companies employing lots of people in Bangladesh & Philippines for like $2 for 10 hours of labor - living and working in unimaginably poor conditions by Western standards?
  - 4y ago

ehsankia 4y ago

I'm curious why are you looking at 2021 specifically? Isn't the whole idea that 2021 was a huge year for every tech company, leading to overhiring, followed up by 2022 which was a rough year for every tech company? They went from $18.9B profit in Q3 2021 to $13.9B in Q3 2022. That's a 36% YOY drop and given todays news, it's fair to assume Q4 was even worse.

oblio 4y ago
Wikipedia shows that number. And even if their profits drop, you can't honestly tell me that they will post a loss for 2022 or even 2023. Heck, their profit margin would still be solid.