Google lays off hundreds of core employees, moves jobs to India and Mexico

In a recent shakeup at Google, at least 200 employees from its “Core” teams have been laid off, with some roles being shifted to India and Mexico, according to a report by CNBC. This news follows the tech giant’s stellar first-quarter earnings report on April 25.

The Core unit, as per Google’s website, forms the technical backbone of the company’s flagship products and safeguards users’ online security. This includes crucial technical divisions such as information technology, Python developers, technical infrastructure, security foundation, app platforms, core developers, and various engineering roles.

Filings reveal that around 50 engineering positions in Sunnyvale, California, have been axed. Internal documents obtained by CNBC indicate that many of these positions will be relocated to Mexico and India.

“Google laid off at least 200 employees from its “Core” teams, in a reorganization that will include moving some roles to India and Mexico,” CNBC reported.

Asim Husain, Google’s Vice President of Developer Ecosystem, broke the news of the layoffs to his team via email last week. He emphasized during a town hall that this reduction represents the most significant planned cut for his team this year.

Husain stated in the email, “We intend to maintain our current global footprint while also expanding in high-growth global workforce locations so that we can operate closer to our partners and developer communities.”

Since early last year, Alphabet, Google’s parent company, has been trimming its workforce, initially planning to slash around 12,000 jobs, or 6% of its employees, due to a downturn in the online advertising market. Despite recent rebounds in digital advertising, Alphabet has persisted with downsizing, with layoffs spanning various departments this year.

Chief Financial Officer Ruth Porat announced in mid-April that the finance department would undergo restructuring, resulting in layoffs and the relocation of positions to Bangalore and Mexico City. Meanwhile, Prabhakar Raghavan, Google’s search chief, revealed plans at a March all-hands meeting to establish teams in key markets like India and Brazil, where labor costs are lower than in the U.S.

These cuts come amid Google’s fastest growth rate since early 2022 and improving profit margins. Alphabet reported a 15% surge in first-quarter revenue compared to the previous year, alongside announcing its inaugural dividend and a $70 billion buyback.