Alphabet looks to identify 10,000 poor-performing employees
May join the wave of tech layoffs
Alphabet, Google's parent company, is planning to lay off about 10,000 ‘poor performing’ employees, according to The Information.
The move is in response to pressure from an activist hedge fund, unfavourable market conditions, and a need to cut costs. Employees who receive low-performance ratings will be let go. Additionally, the ratings may be used to avoid paying bonuses and stock grants.
Google managers have been asked to rank 6% of employees, or roughly 10,000 people, as low performers in terms of their impact for the business, The Information reported, citing people with knowledge of the system.
The new system, which Google introduced in May, also reduces the percentage of employees that can receive a high rating.
Google joins several other U.S.-based tech companies that have announced layoffs this year. On Monday, The New York Times reported that Amazon is looking to cut approximately 10,000 jobs.
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