Google, the tech giant, is currently grappling with a paradox. Despite record earnings that pushed the company’s market cap past $2 trillion, employee morale is at an all-time low. The discontent among employees came to light during a recent all-hands meeting at Google’s parent company, Alphabet.
Employees questioned the leadership about the disconnect between the company’s stellar performance and their compensation. They expressed concerns about the significant decline in morale, increased distrust, and a disconnect between leadership and the workforce. They also questioned why many Googlers have not received meaningful compensation increases despite the company’s success.
Alphabet’s chief financial officer, Ruth Porat, responded by stating that growth is still the company’s main priority. She admitted that a couple of years ago, expenses started growing faster than revenues, which is not sustainable. As a result, Google began 2023 by laying off a whopping 12,000 employees and has since done at least three more rounds of job cuts.
Alphabet CEO Sundar Pichai, who made a whopping $226 million in 2022, insisted that Google is only now making up for over-hiring during the COVID-19 pandemic. He stated that the company is moderating its pace of growth and will be very disciplined about managing headcount growth throughout the year.
Read more: fortune.com