Alphabet Inc (GOOGL.O), Google’s parent firm, has announced the elimination of approximately 12,000 jobs, or 6% of its staff, in the latest round of layoffs to rock the technology industry.
Alphabet CEO Sundar Pichai stated in a staff note seen by Reuters that the company had rapidly increased employees in previous years “for a different economic reality than the one we confront now.”
“I take full responsibility for the decisions that led us here,” he said.
The layoffs come just days after rival Microsoft Corp (MSFT.O) announced 10,000 layoffs.
The job reductions at Alphabet touch teams across the organization, including recruiting, some corporate operations, and some engineering and product teams.
The cutbacks are global in scope and have a direct impact on US employees.
According to the message, Alphabet has already emailed concerned employees, but the procedure would take longer in other countries due to local employment rules and norms.
The announcement comes at a time of economic instability as well as technological promise, with Google and Microsoft investing in generative artificial intelligence, a booming area of software.
“I am confident about the huge opportunity in front of us thanks to the strength of our mission, the value of our products and services, and our early investments in AI,” Pichai said in the note.