A Google internal memo stated “several hundred” of its employees in the company’s global advertising sales team were being laid off, Business Insider reported Tuesday.
Employees are being laid off as a result of “a substantial channel shift” of organizational restructuring, the memo read, according to Business Insider. The restructuring is a shift from focusing on Large Customer Sales (LCS) that serve major advertisers to Google Customer Solutions (GCS) that serve medium-sized advertisers, the purpose being to better serve “customer needs,” Business Insider reported. (RELATED: Google Takes Second Antitrust Blow Less Than A Week After Illegal Monopoly Ruling)
Alphabet-owned Google is laying off hundreds of employees in its advertising sales team, Business Insider reported Tuesday, citing an internal memo. https://t.co/xLFgzsXP3y pic.twitter.com/NdBg3tbIgr
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The memo, written by Chief Business Officer Phillip Schindler, said the annual restructuring would be more sizable than usual. Consequently, due to this restructuring, “several hundred jobs will be eliminated or put at risk (subject to local regulations and consultations).”
Chris Pappas, a Google spokesperson, appeared to confirm the general veracity of the memo, telling Business Insider that “a few hundred roles globally are being eliminated and impacted employees will be able to apply for open roles on the team or elsewhere at Google.” This memo comes days after the company laid off at least 1,000 of its employees, according to Business Insider.
Alphabet, a parent company of Google, laid off 12,000 people — which constituted six percent of its workforce — back in Jan. of 2023. The CEO’s letter announcing the dramatic cuts to the workforce stated “we hired for a different economic reality than the one we face today.”
The company later suffered a loss in court when a jury ruled in Dec. 2023 their app store had abused its “monopoly to extract exorbitant fees, stifle competition and reduce innovation.” A high ranking Google executive said the company would “challenge the verdict.”