WTF?! With a market cap of $1.32 trillion, Google parent Alphabet is the fourth most valuable company in the world, so it might come as a surprise to learn that, as part of money-saving measures, Google is cutting back on employee fitness classes, staplers, tape, café opening times, and even the frequency that it replaces workers' laptops.
Google's finance chief Ruth Porat announced the cutbacks to employee services in a companywide email, reports The Wall Street Journal. Porat wrote that the cuts were part of big, multi-year efforts aimed at making savings.
Alphabet's revenue in the most recent financial year amounted to $282.8 billion, up from $257.6 billion the previous year, but that doesn't mean all of its employees will keep enjoying the company's snack bars, or "microkitchens," some of which are being eliminated. The firm is also closing cafeterias on less-busy days.
The WSJ writes that to save more money, Google will introduce an internal tool that helps teams pick low-cost providers of outside services such as software and equipment providers.
In separate documents seen by CNBC, Google said employee fitness classes were also being cut back. The time between employee laptop replacements is being extended, as is the refresh rate for desktop PCs and monitors. Even basic office supplies such as staples and tape are being restricted to save costs.
"We have been asked to pull all tape/dispensers throughout the building," a San Francisco facility directive stated. "If you need a stapler or tape, the receptionist desk has them to borrow."
Google employees who don't work in engineering roles and require a new laptop will receive a Chromebook by default; they used to have the option of high-end MacBooks. Google claims this also helps prevent external compromises.
Porat wrote that Google's aim this year is to "deliver durable savings through improved velocity and efficiency."
The document claimed that cuts to the food, fitness, massage, and transportation programs were the result of more people coming in 3 days per week rather than 5.
"We've baked too many muffins on a Monday, seen GBuses run with just one passenger, and offered yoga classes on a Friday afternoon when folks are more likely to be working from home," it stated.
Back in January, Alphabet became one of the many tech giants to announce 12,000 people were being laid off, the result of overhiring during the pandemic and the current shaky global economy. It led to Swiss Google workers walking out and offering to reduce their wages to prevent cuts, which Google refused.
This isn't the first time Google has implemented extreme money-saving measures. In February, it asked some of its employees to share desks with co-workers.
https://www.techspot.com/news/98183-google-cutting-back-employee-laptops-perks-even-staplers.html
