Google has initiated a new round of voluntary buyouts, offering severance packages to employees across multiple divisions as part of its ongoing cost-cutting strategy.
The move comes as the tech giant continues to streamline operations while ramping up investments in artificial intelligence (AI).
The buyouts, which target employees in search, advertising, research, and engineering units, reflect Google’s broader efforts to reduce workforce expenses while maintaining talent in critical AI-focused areas.
Background: Google Workforce Restructuring
Google has been periodically reducing headcount since 2023, following the post-pandemic economic slowdown.
The company initially laid off 12,000 employees in early 2023, citing a decline in demand for online services.
Since then, Google has implemented multiple voluntary exit programs, including buyouts in its Pixel and Android divisions earlier this year.
The latest round of buyouts extends to employees in the Knowledge and Information group, which oversees Search, ads, commerce, marketing, research, and core engineering.
Google’s Official Statement on Buyouts
A Google spokesperson, Courtenay Mencini, confirmed the buyouts, stating that the voluntary exit program aims to support the company’s strategic goals.
Courtenay stated, “Earlier this year, some of our teams introduced a voluntary exit program with severance for U.S.-based Googlers, and several more are now offering the program to support our important work ahead.”
Additionally, Google is requiring remote employees who live near an office to return to a hybrid work schedule, reinforcing its push for in-person collaboration.
AI Investments and Cost-Cutting Strategy
Google’s cost-cutting measures coincide with its massive AI investments, as the company shifts focus toward AI-driven infrastructure and product development.
Finance Chief Anat Ashkenazi previously stated that reducing operational costs would be a top priority, allowing Google to expand AI spending in 2025.
Despite workforce reductions, CEO Sundar Pichai reaffirmed Google’s commitment to hiring engineers, emphasizing that AI will serve as an accelerator rather than a replacement for human talent.
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