Google parent company Alphabet to eliminate 12,000 jobs
Job cuts at Alphabet affect teams across the tech company
Amazon, Google facing short-term challenges: Mark Mahaney
Evercore ISI senior managing director Mark Mahaney explains why he is lowering his price targets on two Big Tech stalwarts on 'Varney & Co.'
Google parent company Alphabet Inc. said it will eliminate 12,000 jobs, making it the latest tech company to lay off employees amid an uncertain economic environment.
Chief executive Sundar Pichai said the cuts affect teams globally, including recruiting, some corporate functions, as well as some engineering and products teams. The layoffs are global and impact U.S. staff immediately, Pichai told employees in an email on Friday.
"Over the past two years we’ve seen periods of dramatic growth. To match and fuel that growth, we hired for a different economic reality than the one we face today," he wrote. "I am confident about the huge opportunity in front of us thanks to the strength of our mission, the value of our products and services, and our early investments in AI."
Alphabet and Microsoft recently announced major staff cuts. (Nikolas Kokovlis/NurPhoto via Getty Images / Getty Images)
MICROSOFT CUTTING 10,000 WORKERS AS TECH LAYOFFS MOUNT
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GOOGL | ALPHABET INC. | 171.49 | +2.54 | +1.50% |
ALPHABET UNIT VERILY TO TRIM MORE THAN 200 JOBS
Pichai said the company will provide employees in the U.S. with at least 16 weeks of salary, plus two weeks for each additional year at the company. It will also offer six months of health care, job placement services and immigration support for affected workers. Remaining vacation time and 2022 bonuses will also be paid. Employees outside the U.S. will be supported in line with local practices.
Carmine Di Sibio on the labor market: Ratio of layoffs to hiring 'a small amount'
Ernst & Young Global Chairman and CEO Carmine Di Sibio joined 'Mornings with Maria' to discuss the labor market, and provide his take on employees working from home and its impact on commercial real estate.
Alphabet is the latest company in the technology sector that has been affected by recent mass layoffs. Microsoft announced on Wednesday that it will cut 10,000 jobs while Amazon announced it will begin laying off 18,000 employees.
CLICK HERE TO GET THE FOX BUSINESS APP
Reuters contributed to this report.