The internet search engine giant, Google Inc. has begun to feel the ripple effect of the economic storm as well. As a measure to cut costs, 200 marketing and sales jobs are to be cut from its international operations.
Google broke its record of over ten years of not cutting the mainstream jobs, as an unavoidable step to cope with the recession. The employees sacked from the sales and marketing, have the option to join in other positions within the company.
With many companies curbing their online advertising spends, which happens to be Google’s major source of revenue, such a decision had to be taken. There were many overlapping operations that only resulted in redundancy and unnecessary expenditure, but also poor and complicated decision making. Investments were made earlier on such operations based on the economic growth forecasts, however, which has no relevance now.
Although, cost cutting measures are in full swing, famous perks like free meals, etc are still there, as Google Inc believes it fosters better employee communication and relations. The 200 job cuts will affect only one percent of the entire Google workforce of 20,200.
Google stocks were up by $9.22 and close at $353.29 on Nasdaq Stock Market.
