As part of its cost-cutting initiatives, Google U.S. terminated over 200 “core” employees and offshored the positions. The employment positions will be relocated from Google’s U.S. headquarters to BRICS nation India and Mexico. Since the 1990s, the United States has outsourced employment to developing nations featuring comparable talent for lower compensation.
Asim Husain, vice president of Google Developer Ecosystem, wrote in an email to his team last week that “announcements of this sort may leave many of you feeling uncertain or frustrated.”
Google lays off employees and moves to Mexico and India
As reported by CNBC, Google terminated at least 200 members of its “Core” teams on April 25, just prior to the release of its enormous first-quarter earnings report. As part of a reorganization, some positions will be relocated to India and Mexico.
Per Google’s website, the core unit is tasked with establishing the technical framework that supports the organization’s most prominent products and ensuring users’ online security. The core teams comprise diverse engineering roles, technical infrastructure, security foundation, application platforms, and essential technical units from information technology, as well as the Python developer team.
According to court documents, the company’s Sunnyvale, California offices eliminated at least fifty engineering positions.
Since the turn of the millennium, the rate at which the United States outsources employment has accelerated, with Mexico and BRICS member India placing first. A plurality of Google’s U.S. workforce has been laid off as a result of the lockdowns imposed in response to PCV-19.
Although India is home to a wealth of skilled individuals, its remuneration is half that of Google’s American staff. In developing nations such as India and Mexico, software and technology professionals are abundant. As a result, although outsourcing proves advantageous for India, it imposes the greatest burden on American employees.
Concurrently with BRICS’s effort to generate revenue by exploiting talent, Google has decided to outsource American employment. In addition to the challenge of de-dollarization, American employees are also confronted with the quandary of job outsourcing, which lacks governmental intervention.
Further advancing the de-dollarization agenda, Mexico has also contemplated joining BRICS. It is BRICS countries that benefit from the development, while corporations such as Google in the United States disregard global market shifts in favor of profits and inexpensive labor.
Alphabet planned job cuts stay the course
Since early last year, when it announced intentions to eliminate approximately 12,000 jobs, or 6% of its workforce, due to a decline in the online advertising market, Alphabet has been reducing its headcount. Despite the recent recovery in digital advertising, Alphabet has continued its reduction efforts this year by laying off employees from several organizations.
Midway through April, Chief Financial Officer Ruth Porat stated that the organization’s finance department would be restructured, including the relocation of positions to Bangalore and Mexico City and the implementation of redundancies.
At an all-hands meeting in March, the organization’s search chief, Prabhakar Raghavan, informed staff that Google intends to construct teams in key markets, such as India and Brazil, where labor is more affordable than in the United States, in closer proximity to users.
The most recent reductions have been implemented in conjunction with improving profit margins and the company’s highest growth rate since early 2022. Alphabet posted its first-quarter revenue increase by 15% year-over-year and declared its inaugural dividend in addition to a $70 billion buyback, all within the past week.
The reorganization teams have played a crucial role in the development of Google’s developer tools. The area in question is undergoing optimization in preparation for the increased integration of artificial intelligence into its products. Google unveiled a significant redesign of its chatbot, Gemini, in February, which matched the name of the suite of AI models that operate it (Bard to Gemini).
Google I/O, the company’s yearly developer conference, is approaching on May 14. During this event, Alphabet customarily unveils developer products and tools that have been in development since the last year.
