Dear Google… really? I mean, really?
Last week we learned Google laid off 5,000+ contractors and tried to keep it out of the news. Considering I happily drink Google kool-aid by the gallon I was pretty disappointed in the way they handled themselves. I don’t fault them for laying off contractors – we’re in a recession, layoffs are expected and contractors are the first to go – but for Google to have submitted an SEC filing on paper just to keep it offline and to still not have officially acknowledged the layoffs, undermines consumers and does a disservice to the ousted contractors who have served them well.
Layoffs are a necessary evil during a downturn, but at such moments it is amazing what a little transparency and forthrightness can do for consumer opinion of a company and the morale of remaining employees; just ask the folks at Pfizer and Oracle who are sweating bullets until the next rolling-layoff announcement.
Dear Google… you’ve redeemed yourself. Thanks.
Earlier this week Google closed several engineering offices and eliminated 100 recruiting positions (Googlers, not contractors this time), but handled it such a way that it actually serves as a model for how other companies should manage layoffs. On Monday I wrote a post about the Ogilvy layoffs in which I said how great it would be “if the next time a large business laid off 10% of its workforce they posted something about it on their website.” Well Google did just that.
After each post I’ll analyze how Google sets a good example of how to handle layoffs, if it isn’t obvious.
1. On eliminating 100 recruiting positions:
Changes to Recruiting
1/14/2009 03:01:00 PMAs we made clear during our last quarterly earnings call in October, Google is still hiring but at a reduced rate. Given the state of the economy, we recognized that we needed fewer people focused on hiring.
Our first step to address this was to wind down almost all our contracts with external contractors and vendors providing recruiting services for Google. However, after much consideration, we have with great regret decided that we need to go further and reduce the overall size of our recruiting organization by approximately 100 positions.
We know this change will be very difficult for the people concerned, and we hope that many of them will be able to find new roles at Google. They helped build this company, new hire by new hire, and we are enormously grateful for everything they have done.
Posted by Laszlo Bock, Vice President, People Operations
Analysis:
- Was that an acknowledgment of the contractor layoffs? I think it was! Granted it was a glancing comment and only referenced recruiters, but at least they finally addressed it.
- They used a scalpel and not a hatchet. Note that Google is eliminating positions, not simply cutting jobs. They’re reducing their rate of hiring, so it makes sense to reduce the number of recruiters. Right? That’s palatable.
- They acknowledged the value of their recruiters and expressed gratitude for their service and “hope” that many of them will find new roles at Google. Who knows if said recruiters will in fact find other positions within Google (though I suppose they know which departments are hiring!), but acknowledging the valued service of eliminated employees is so much more honorable and respectable than sweeping them under the rug without so much as a public acknowledgment or word of praise. (Pfizer? Oracle? Ogilvy? Are you hearing this?)
2. On closing three engineering offices globally (Austin, TX; Trondheim, Norway and Lulea, Sweden)
Changes to Engineering
1/14/2009 02:50:00 PMAt Google we recognized early on that branching out beyond Mountain View was key to building innovative products for users everywhere. That’s why we put so much effort into hiring outstanding engineers in a wide mix of countries. Having offices distributed around the globe is critical to Google’s long-term success, and today we have thousands of engineers working in 40 offices in more than 20 countries. It has enabled us to make significant improvements in our products and attract more users globally.
It has also presented unique challenges. The most difficult of these being to coordinate our efforts across all geographies, and provide engineers with significant, meaningful projects that make a real difference to people’s lives. Last September we asked engineers in Phoenix, Arizona to move to other offices, and the vast majority have done so. This move enabled us to build larger and more effective teams, reduce communication overhead, and give engineers increased options for future projects. Today we are doing the same thing in Austin, Texas; Trondheim, Norway; and Lulea, Sweden. Our strong desire is to keep as many of these 70 engineering employees at Google as possible. However, we do recognize the upheaval and heartache that these changes may have on Google families, and that we may not be able to keep 100% of these exceptional employees.
Our long-term goal is not to trim the number of people we have working on engineering projects or reduce our global presence, but create a smaller number of more effective engineering sites, which will ensure that innovation and speed remain at our core.
Posted by Alan Eustace, Senior Vice President, Engineering & Research
Analysis:
- Again, they’re not making outright layoffs. Google is closing offices and will try to transfer the employees. Granted it won’t work for everyone, but I’d rather be offered a position 2,000 miles away than to lose my job outright in this economy.
- Even if it’s less than heartfelt, expressing sympathy for the employees and families who can’t take advantage of a transfer offer is
- Google clearly articulates their long term goal: creating “a smaller number of more effective engineering sites, which will ensure that innovation and speed remain at our core.” When does a company ever articulate a goal during layoffs aside from cutting costs? Ogilvy is “responding to reductions in client spending,” Pfizer is “restructuring,” but where are the high-level announcements that explain how these companies expect to accomplish anything through layoffs?
In short, I know that no company is OBLIGATED to publicly address a round of layoffs or praise their axed employees or express sympathy for the resulting change or provide a high-level explanation for the layoffs, but such actions make a marked impact on customer opinion and go a long way toward honoring cut employees and improving the morale of those that remain.
Photo credit: PCWorld
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Please can you find me a job