Google: Sunder Pichai To Cut Senior Executive Pay Significantly
Pichai reportedly did not specify the wage reduction’s percentage or duration.
Sundar Pichai, the CEO of Google, is expected to make an announcement regarding a major salary decrease for senior executives. According to recent reports, the CEO of Google recently had a town hall meeting with the company’s workforce and revealed that all positions above all the senior vice-president position will experience a large reduction in their yearly bonus. According to what he indicated, the compensation for top roles is tied to the performance of the organization. Pichai allegedly did not indicate the proportion of compensation that will be lowered or the length of time it will be implemented, according to the claims.
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The news of the salary drop was announced only a few short weeks after it announced that it will be laying off 12,000 of its employees. Concerns about a worldwide economic slowdown prompted the decision to cut back on operational expenses. He mentioned this in a letter to Google employees and explained that as a nearly 25-year-old corporation, The is destined to experience challenging economic cycles. A report published by ET states that reductions at is have already begun in the United States & that they will soon spread to other regions, including perhaps India, in the weeks to come. The company is going through a rough patch right now as a result of the adverse macroeconomic conditions and the recent round of layoffs.
Pichai said at a meeting last week, during which he was discussing the layoffs, that he’d misjudged the lack of expansion that the firm would have as a result of the big hiring push that it had undertaken. According to Pichai, if Google had continued to grow as anticipated at the end of 2021, the recruitment nudge would have aligned the business to continue to prosper in its sector rather than being compelled to fall behind in many aspects, as reported. This would have been the case if the company had continued to grow.
Pichai’s pay has reportedly been bumped up as a result of his outstanding work as CEO in recent times. According to a document from the year 2020, Pichai made a yearly compensation of $2 million. In accordance with the IIFL Hurun India Rich List 2022, the chief executive officer of Google saw a decline of 20% in their net worth, which is now estimated to be 5,300 crore.