Google executives will scale back a number of the technology firm’s notoriously lavish employee perks amid efforts to reduce costs and increase profitability.
Google CEO Sundar Pichai informed the company earlier this year that some 12,000 positions would be eliminated due to persistent macroeconomic turmoil. A memo sent by Google CFO Ruth Porat on Friday and obtained by Business Insider likewise said that the “challenging economic environment” and “incredible investment opportunities to drive technology forward” would necessitate changes to the company’s cost structure.
The workforce reductions will therefore precede the restructuring of technology operations for greater maximization of resources, as well as reforms to external procurement and contracting processes. Even as such changes will not “be visible” to most employees, the “industry-leading perks, benefits and office amenities” at Google will be scaled back to reduce expenses.