In a 2021 interview with the Wall Street Journal, Alphabet CEO Sundar Pichai (who has received over a billion dollars in stock grants alone over the last few years) said that “there has to be a dialogue of respect on both sides” in the modern workplace. Just under a year-and-a-half later,
There are a few things government can do to help here:
1) Mandate one year of pay and benefits in the case of *any* termination — layoff, “performance,” etc. The only exemption should be if an individual being fired has committed a crime or serious breach of fiduciary duty. This should start from the point that a job offer is made, so if an offer is rescinded, the company is still on the hook for a year of pay and benefits.
2) Move employees to the head of the line for creditors, even ahead of secured creditors. Before any creditor is considered in a bankruptcy, make sure employee costs including pay and benefits (including the aforementioned severance) are paid in full.
3) Any company that lays off or otherwise terminates more than 2% of its employees over a three year period should be banned from participation in the H1B and other work visa programs (including intracompany transfers) for a period of seven years. If mass layoffs are needed, the company has a surplus of workers and does not need to sponsor or import additional employees.
4) Mandate that any noncompetes come with either recission upon layoff/termination or payment of full pay and benefits for the entire period of the noncompete — even if the employee is no longer employed.
my take on this is that every single big tech company knew the pandemic effect wouldnt last, downturn was coming and hired as many people as they could to capitalize on the temporary boom, just like stores hire temp workers for the holiday season (in this case while not letting people know it was temporary). This bs prediction that they though this would last forever is just covering their asses and tricking their employees. This was all by design
Plus, companies like Google have a ridiculous amount of money invested in real estate and so they're trying to force employees back into the office 3 days a week to justify it. Interesting choice to make between paying to maintain and renovate buildings or keeping employees on. It's pretty clear that they value just about everything over their people.
It's Door #2: these executives are lying. Ed, you're spot on regarding the outsize pay and the billions in profits. These lay-offs are the result of GREED. As someone who's been laid off, the trauma is real and the recovery slow. I feel for these people, really and truly.
Like MJ mentioned above, this was a tremendously cathartic read--and so illuminating.
I was one of those 12k Googlers who were laid off. Zero closure. In the middle of the night. In the middle of multiple projects, leaving other teammates scrambling. I found out after a work friend texted me Friday morning, “Please tell me you’re in the clear.” I most certainly was not.
Not to mention the fact that Google is actively still hiring...
It seems to me the loss of respect and trust for these companies due to how these layoffs were handled will be a significant cost to these companies in the long run. Now knowing that Google has no problem laying someone off without notice and allow them to discover the layoff when they try to perform their on-call responsibilities makes me never want to apply for a job at Google. I'd rather work for a much smaller, private company that actually cares about its employees.
Well said. It’s going to cause a lot of the new generation to consider side hustles and future considerations. Execs in these companies won’t care because they’ll automate the shit out of these positions including AI code, to meet shareholder expectations, bonuses and profits. The class warfare began long ago.
My company isn't perfect but after years of layoffs every other year, we are no longer a publicly traded company and haven't had layoffs since. Our execs don't get compensated relative to our share price. And, although it makes more work for the rest of us, we've been hiring slowly to compensate for attrition.
Mostly I'm on board here, however, it may not be wise to go Euro-style on the hiring.
People may tend towards overly cautious adding heads if it is much more difficult to bring head count down.
Amazon hires people with the express intent to get rid of them later if the articles are to be believed. Even if they are following old Ballmer tracks, they should get less pass for that behavior than any of these companies for theirs.
Where they should probably all be forced to pay some stiff penalties both to those affected and to the tax man, is where they have brought in people on visas and are doing this. That seems like a double whammy of reckless disregard for anything that looks more human than an old white man on green paper.
There are a few things government can do to help here:
1) Mandate one year of pay and benefits in the case of *any* termination — layoff, “performance,” etc. The only exemption should be if an individual being fired has committed a crime or serious breach of fiduciary duty. This should start from the point that a job offer is made, so if an offer is rescinded, the company is still on the hook for a year of pay and benefits.
2) Move employees to the head of the line for creditors, even ahead of secured creditors. Before any creditor is considered in a bankruptcy, make sure employee costs including pay and benefits (including the aforementioned severance) are paid in full.
3) Any company that lays off or otherwise terminates more than 2% of its employees over a three year period should be banned from participation in the H1B and other work visa programs (including intracompany transfers) for a period of seven years. If mass layoffs are needed, the company has a surplus of workers and does not need to sponsor or import additional employees.
4) Mandate that any noncompetes come with either recission upon layoff/termination or payment of full pay and benefits for the entire period of the noncompete — even if the employee is no longer employed.
my take on this is that every single big tech company knew the pandemic effect wouldnt last, downturn was coming and hired as many people as they could to capitalize on the temporary boom, just like stores hire temp workers for the holiday season (in this case while not letting people know it was temporary). This bs prediction that they though this would last forever is just covering their asses and tricking their employees. This was all by design
Plus, companies like Google have a ridiculous amount of money invested in real estate and so they're trying to force employees back into the office 3 days a week to justify it. Interesting choice to make between paying to maintain and renovate buildings or keeping employees on. It's pretty clear that they value just about everything over their people.
It's Door #2: these executives are lying. Ed, you're spot on regarding the outsize pay and the billions in profits. These lay-offs are the result of GREED. As someone who's been laid off, the trauma is real and the recovery slow. I feel for these people, really and truly.
Like MJ mentioned above, this was a tremendously cathartic read--and so illuminating.
I was one of those 12k Googlers who were laid off. Zero closure. In the middle of the night. In the middle of multiple projects, leaving other teammates scrambling. I found out after a work friend texted me Friday morning, “Please tell me you’re in the clear.” I most certainly was not.
Not to mention the fact that Google is actively still hiring...
The boat twins can do the job for negative $800 million
CEOs should be like NFL coaches. they should get shitcanned if they're a loser, or if i don't like their haircut
It seems to me the loss of respect and trust for these companies due to how these layoffs were handled will be a significant cost to these companies in the long run. Now knowing that Google has no problem laying someone off without notice and allow them to discover the layoff when they try to perform their on-call responsibilities makes me never want to apply for a job at Google. I'd rather work for a much smaller, private company that actually cares about its employees.
I agree with Top Dog 1st to fire because of decisions affecting rank n file that boomerang into affecting the company itself
Example, how Jack Welch was touted/lauded for his acumen on firing the bottom 10% BUT now, where is GE?
World com, Tyco , on and on started firing workers and now, they are diminished companies
Well said. It’s going to cause a lot of the new generation to consider side hustles and future considerations. Execs in these companies won’t care because they’ll automate the shit out of these positions including AI code, to meet shareholder expectations, bonuses and profits. The class warfare began long ago.
There's no loyalty on *either* side and hasn't been for 20 years. Get over it.
My company isn't perfect but after years of layoffs every other year, we are no longer a publicly traded company and haven't had layoffs since. Our execs don't get compensated relative to our share price. And, although it makes more work for the rest of us, we've been hiring slowly to compensate for attrition.
Spot on.
I found this tremendously affirming and cathartic. Thank you for writing it.
It's their fault, and I'm all for accountability.
Mostly I'm on board here, however, it may not be wise to go Euro-style on the hiring.
People may tend towards overly cautious adding heads if it is much more difficult to bring head count down.
Amazon hires people with the express intent to get rid of them later if the articles are to be believed. Even if they are following old Ballmer tracks, they should get less pass for that behavior than any of these companies for theirs.
Where they should probably all be forced to pay some stiff penalties both to those affected and to the tax man, is where they have brought in people on visas and are doing this. That seems like a double whammy of reckless disregard for anything that looks more human than an old white man on green paper.
Note that at Google the greatest part of earnings by far aren't even going to shareholders but to management, via stock bybacks. See (free) https://www.epsilontheory.com/stock-buybacks-and-the-monetization-of-stock-based-compensation/