On Tuesday, Alphabet (Google) CEO Sundar Pichai (above) sent a memo to Google employees to let them know that the company would slow its hiring for the balance of the year and take other cost-cutting measures in response to worsening economic conditions.
The memo, obtained by The Verge, is a master class in leadership and emotional intelligence and it teaches a lesson every CEO should take to heart.
Needless to say, Google is not the only tech company currently fearing the effects of inflation and a possible recession. Twitter and Netflix, among others, have announced layoffs, and numerous other companies have said that they are freezing or slowing hiring.
Needless to say, Google is not the only tech company currently fearing the effects of inflation and a possible recession. Twitter and Netflix, among others, have announced layoffs, and numerous other companies have said that they are freezing or slowing hiring.
But only Pichai seems to see the current market uncertainty as an opportunity to focus on what's most important, and inspire employees in the process. The memo he sent should be a model for every leader facing uncertain times like these. (You can find the full memo at the end of this piece.)
To begin with, Pichai starts the memo by thanking Google employees. Noting that 2022 is half over, he writes, "It's the right opportunity to thank everyone for the great work so far this year, and to share how my Leads and I are thinking about H2."
To begin with, Pichai starts the memo by thanking Google employees. Noting that 2022 is half over, he writes, "It's the right opportunity to thank everyone for the great work so far this year, and to share how my Leads and I are thinking about H2."
Of course, thanking employees for all their great work is pretty much boilerplate for CEOs these days. Still, the fact that Pichai puts it right at the top of his memo makes it seem slightly more sincere.
Pichai then acknowledges that Google leadership is concerned about the same economic headwinds that are affecting the rest of the economy.
Pichai then acknowledges that Google leadership is concerned about the same economic headwinds that are affecting the rest of the economy.
Noting that Google has already hired about 10,000 people so far in 2022, he explains that the company will slow that trend for the rest of the year, focusing its hiring on what he terms critical roles such as engineering and technical.
And there's more bad news. Noting that Googlers will need to work with "sharper focus" and "more hunger" than in better economic times, he warns that the company will need to streamline and consolidate some initiatives, and pause others altogether. READ MORE...
