The parent company of Google, Alphabet is planning to cut staff recruitment and hiring in Q4 of 2022 and the coming year, 2023.
This decision came into force as the Q3 revenue grew at its slowest pace in more than two years. These things were said during the company’s earnings conference call on October 25.
In September, the CEO had already warned about the same. He said that wanted to make the firm 20 percent more efficient, which could lead to job and product cuts.
Google is not an alone company that is putting a freeze on hiring. Facebook‘s parent company Meta, has also made it clear that the company will part ways with employees who do not perform as expected.
Sundar Pichai, CEO of Alphabet and Google said, “We’re sharpening our focus on a clear set of product and business priorities. Product announcements we’ve made in just the past month alone have shown that very clearly, including significant improvements to both Search and Cloud, powered by AI, and new ways to monetize YouTube Shorts.”
“We are focused on both investing responsibly for the long term and being responsive to the economic environment”, Sundar Pichai added.
Alphabet CFO Ruth Poret told in the conference call that there will be less than half the hiring in the fourth quarter compared to the third quarter. However, apart from top engineering and technical talent, recruitment will continue for important posts in the company.
Ruth Porat, CFO of Alphabet and Google said, “Our third quarter revenues were $69.1 billion, up 6% versus last year or up 11% on a constant currency basis.”
“Financial results for the third quarter reflect healthy fundamental growth in Search and momentum in Cloud, while affected by foreign exchange. We’re working to realign resources to fuel our highest growth priorities”, Ruth Porat added.
Alphabet is a collection of companies, including Google, Verily Life Sciences, GV, Calico, and X. In October 2015, Alphabet became the parent holding company of Google, with the companies far afield of our main internet products contained in Alphabet.
The company in the third quarter of FY22, 12,765 new people were added to the company 2,600 of these were associated with the acquisition of Mandient. The number of employees of the company has increased to 1,86,779 worldwide.