December 25, 2024

Google cutting more jobs as it restructures teams as part of shift to AI

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Google is laying off an unspecified number of workers in its latest round of cuts as the company continues to self-scrutinize costs, efficiency, and operations.

As part of the upcoming changes, Google is reportedly considering moving away from its more expensive locations to cheaper hubs in regions such as India, Chicago, Atlanta, and Dublin.

The internal memo shared by CFO Ruth Porat and seen by CNBC reveals that artificial intelligence has yet again impacted the company’s workforce, and not for the better.

Google laying off and relocating due to costs, AI

Porat wrote (via CNBC): “The tech sector is in the midst of a tremendous platform shift with Al.” The CFO said that the company has had to focus on offering better solutions for its customers, which has resulted in some “tough decisions” regarding its workforce.

The restructuring will affect finance teams from offices around the world, including in the Asia-Pacific region and Europe, the Middle East and Africa, as well as its key locations in the Americas.

Porat revealed plans for new centralized hubs in Bangalore, Mexico City, Dublin, Chicago, and Atlanta, but affirmed that the company would still maintain a significant presence in the San Fransisco Bay Area, where its headquarters is located.

Other reports have indicated that Google’s real estate and finance departments have been affected (via Reuters).

Already this year, Google has laid off more than 1,000 workers (via layoffs.fyi), with CEO Sundar Pichai hinting that more would follow. Amazon, Microsoft, and Tesla workers have also seen significant cuts in recent months.

TechRadar Pro asked Google to confirm its latest round of layoffs, but the company did not immediately respond. 

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