Google is reportedly delaying a portion of employees’ year-end bonus checks. According to a report in CNBC, the company may move towards permanently pushing back payouts. As per the report, quoting Google documents that CNBC claims to have seen, “In past years, employees received their full bonuses in January. However, Google will pay qualifying full-time employees 80% of their bonus checks this month and the remaining 20% in March or April.” The company says that it had informed the same to employees in May last year.
Google executives said that this will be a one-time change due to “transition” of its employee-evaluation system and the altered timing for future bonuses. “After 2023, full bonuses will be paid in March,” the company said in a memo to employees. The delay in bonus comes just days after Alphabet’s Verily health sciences unit announced that it will cut headcount by 15%, accounting for about 240 lost jobs. The company also reduced staff in its robotics unit Intrinsic.
On its part, Alphabet canceled the next generation of its Google Pixelbook laptop, slashed funding to its Area 120 in-house incubator and announced shuttering of its cloud gaming service Stadia.
Anxiety about the new performance rating system
Google introduced a new employee evaluation system in May 2022. Google’s switching to its new system this month. It is called GRAD, which stands for Googler Reviews and Development. The new performance rating system has created anxiety among employees, with some of them linking it to job cuts.
According to a report in The Information, Google parent Alphabet is feeling the pressure and may cut up to 10,000 jobs in early 2023. As per the report the adverse economic conditions continue to batter the company’s profit margins and stock prices. In November 2022, the company also faced calls from a prominent activist investor to reduce “excessive” headcounts and per-employee costs.
The report further claimed that Google has requested team managers to evaluate employees using a new “ranking and performance improvement plan.” Under the previous systems, managers were generally expected to cut around 2% of the company’s total workforce to help remove the lowest performers, however, the new plan requires nearly three times that many workers.
Google executives said that this will be a one-time change due to “transition” of its employee-evaluation system and the altered timing for future bonuses. “After 2023, full bonuses will be paid in March,” the company said in a memo to employees. The delay in bonus comes just days after Alphabet’s Verily health sciences unit announced that it will cut headcount by 15%, accounting for about 240 lost jobs. The company also reduced staff in its robotics unit Intrinsic.
On its part, Alphabet canceled the next generation of its Google Pixelbook laptop, slashed funding to its Area 120 in-house incubator and announced shuttering of its cloud gaming service Stadia.
Anxiety about the new performance rating system
Google introduced a new employee evaluation system in May 2022. Google’s switching to its new system this month. It is called GRAD, which stands for Googler Reviews and Development. The new performance rating system has created anxiety among employees, with some of them linking it to job cuts.
According to a report in The Information, Google parent Alphabet is feeling the pressure and may cut up to 10,000 jobs in early 2023. As per the report the adverse economic conditions continue to batter the company’s profit margins and stock prices. In November 2022, the company also faced calls from a prominent activist investor to reduce “excessive” headcounts and per-employee costs.
The report further claimed that Google has requested team managers to evaluate employees using a new “ranking and performance improvement plan.” Under the previous systems, managers were generally expected to cut around 2% of the company’s total workforce to help remove the lowest performers, however, the new plan requires nearly three times that many workers.
For all the latest Technology News Click Here
For the latest news and updates, follow us on Google News.
Denial of responsibility! NewsUpdate is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.
