Google to cut annual bonus of senior executives after mass layoff: CEO Sundar Pichai

Following the largest round of layoffs in Google’s history, officials justified the job cuts and answered queries from a worried workforce at a town hall meeting on Monday. During the all-hands meeting, the company CEO Sundar Pichai addressed the employees and announced that Google will cut the bonus of its executives. According to him, all senior vice presidents and above will have their yearly bonuses reduced significantly. As an executive’s seniority increases, the relationship between pay and corporate performance becomes stronger, as explained by Pichai, Business Insider reported. He further noted that a lot of SVPs and offices have performance-share units, which might lower their equity grants if performance is poor. These units have a strong connection to company performance as well. About 12,000 workers were affected by the layoffs Pichai announced on Friday. He took full responsibility for the mass layoffs. As a reason for the job cuts, he pointed out the fact that Google had hired a large number of employees over the past few years. Pichai explained in detail, “In light of the circumstances, we came to a number of conclusions that seemed sensible at that time. You must keep in mind that as a business, we would have lagged behind in a number of areas if the trend had persisted and we had not employed to stay up.” Pichai asserted that 2021 was one of the strongest years they have ever had in the history of the company, with a 41 percent increase in revenue. Google increased its workforce to keep up with such growth because it anticipated steady expansion. So, in order to balance the workforce, it had to opt for a reverse method to cope with the economic downturn. Pichai provided some justification for the step he and the executive team took. He claimed that he had discussed the move with Sergey Brin and Larry Page, the company’s co-founders and main shareholders, as well as the board of directors. The procedure included 750 senior officials and it took a few weeks to decide who would be let go.
Read all the Latest News , Trending News ,  Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.