Google layoff up to 10,000
Posted by Melissa Fillau on 09 Dec 2008 | Tagged as: Search Engine News
Exact numbers are not yet known, nor do we know when this will happen, but Google announced that they are expecting a significant reduction in temporary worker numbers, just before the thanksgiving weekend.
For now it looks as though they have managed to get around the legal requirements of announcing the layoffs because the staff are only ‘temporary’. They officially report that they have 20,123 employees but in actual fact that number is around the 30,000 mark. Approximately 10,000 of these are classed as ‘temporary operational expenses’. This helps Google in many ways, as they can pay these ‘temporary’ workers minimum wage with no benefits. They also gain the added advantage of appearing more productive to Wall Street, raising shareholder’s short term expectations.
It has also been said that they have been letting go of 50 or so workers simultaneously since August, and classifying them as temporary workers to avoid penalisation under the DOL’s WARN act and having to file with the SEC (Security and Exchange commission). Apparently 500 workers have been laid off in this manner so far.
Many people wonder how Google manages to get past all these legal requirements when clearly they are breaching them in one way or another. It must have something to do with all the lawyers they have working for them and how they figure out ways to get around all the legalities in a fairly ‘legal’ way. For example, Google constantly moves their ‘temporary workers’ from one position to the next in order to keep them classified as temporary. Even though the worker has been employed by Google for a number of years, because they are constantly changing job roles they are not classified as full-time employees.
Are Google taking advantage of their position in the industry and exploiting these ‘temporary workers’ or are they in fact utilising them effectively to everyone’s advantage (including the ‘Temporary Worker’s’), as Google preserves its reputation as one of the best places to work?
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