Word on the street is Google could be cutting a serious amount of staff from its workforce. According to WebGuild, the Mountain View company is quietly cutting its numbers and up to 10,000 people’s necks could be on the chopping block.
WebGuild says that, despite the fact that Google says it employs roughly 20,000 people, it actually has more like 30,000 with the extra 10,000 listed as temporary operational costs or contracted workers.
The report paints it like this: Google has 10,000 more employees than the SEC thinks it does. While it makes it look better to Wall Street, investors and shareholders, these people are the most permanent of temporary workers. By moving staff from job to job they maintain temporary status while Google can write them off as operational costs and keep numbers down. WebGuild says a whole bunch of these temps have been there for up to five years and some, seven.
We all know that more often than not, during tough times, operational costs are the first to be rejigged to make sure there’s enough cash to keep things going. However, 10,000 people wouldn’t go unmissed. It’d be difficult to cut 33 percent of you workforce with minimal impact. Fact is, if you have 10,000 people you can afford to cut, you’re doing something wrong.
Google has already showed signs of streamlining business by cutting things that aren’t making much money and focusing on the products that are. Earlier this month the company killed Lively and scattered the team to different projects. Sure, Google is going to be hit by the current economic crisis, but is it going to cut 10,000 jobs? Google spokeswoman Jane Penner told CNet that the company will be making cuts although, we doubt the company will wave goodbye to 10,000. "We have 10,000, and we have had a plan in place for awhile to significantly reduce that number," she said. "This is something we’ve been thinking about for awhile—six or seven months. It predates the most acute phase of the (present economic) crisis."