Google is tightening its performance assessments to identify 10,000 underperforming companies. Workers fear layoffs are next


As if performance reviews weren’t already stressful enough in a year of going back to the office, overshadowed by productivity losses and extensive debates about the future of work, Google employees like Silicon Valley giant I are raising job anxiety. The year-end performance review process.

Google, The Information reported early last week, has asked managers to identify 6% of employees — about 10,000 people — as “underachievers” in terms of their impact on the bottom line. The old system asked them to identify the 2% underperforming employees. This means that the number of people who can get a high score is reduced to what it actually looks like.

Workers are nervous after thousands of layoffs in the tech industry.

One employee told Insider of speculation about layoffs at the company that “management hasn’t ruled it out when pressed, but they haven’t given any indication it will happen.”

Typically, performance reviews can be considered virtually useless because companies often confuse the message: what they mean. performanceAnd while it doesn’t go entirely directly to individual Google employees, the company has left no stone unturned to show it cares about revenue.

In its most recent third quarter, during which CEO Sundar Pichai said the company would focus on its business, Google reported revenue growth of 6% — the second-slowest growth in the past decade. And turnover per employee fell by about 15% in that quarter compared to the same period a year earlier.

Google executives say changes to performance ratings are just one way to improve the output of employees who have been through the more than two years of the pandemic and readjusting to new ideas about work-life balance. But company employees see a drop in sales in the new year and changes brought about by the recession as little more than a matter of layoffs, The Information reported.

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They can’t be faulted for seeing it that way: a boon to the industry as the tech sector largely struggled with post-pandemic lockdowns, the likes of Meta and Google have grown rapidly and been steadily hired, but Takes It All has crashed.

In November alone, tech companies announced 31,200 job cuts, according to Challenger, Gray & Christmas, a firm that advises employers on layoffs.

Meta laid off 11,000 employees earlier this month, with CEO Mark Zuckerberg acknowledging that the company misjudged the benefits of the pandemic as it expanded its operations and workforce. After taking over Twitter, Elon Musk fired half of Twitter employees. Before that, Snap laid off about 20% of its workforce, and Netflix, Coinbase, Robinhood, and Tesla have all cut their workforce. Amazon recently said it plans to lay off about 10,000 employees.

Google has already been quietly cutting costs, slashing travel budgets, while also laying off entire teams from team functions and social outings, forcing some employees to separate. Must reapply for positions. The company hasn’t announced any significant broad layoffs yet, but if you ask its employees, it seems the writing is on the wall: People inside and outside Mountain View’s headquarters are watching to see if the tech giant is going to cut off its next employees. Will stay on the block. ,

“Google’s executives are eager to fire people,” a former executive of the company told Insider. “Just to clean up the culture by scaring people a little more.”

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