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Although Google is frequently expanding physically but it seems that it has gone too far. Now they have realised the situation and have started cutting down the ‘profitless’ areas of the company. In accordance to their realisation, they are closing their offices in Denver and Dallas. For some, the reason seems to be the ‘lack in revenue generation’.
A former Google employee in her message at Friendfeed wrote:
Employees have to choose relocation or severance.
Someone decided the ROI wasn’t there.
Google’s spokesperson, when asked about the situation stated:
Following an operational review, we are consolidating our offices in Dallas and Denver, as we currently have at least two offices in each of these markets. This reorganization is designed to ensure we are serving the needs of our customers, stakeholders and Googlers (Google employees) efficiently. These are the only two cities affected by this review, and all affected Dallas and Denver Googlers will be offered opportunities within the company.
Furthermore the spokesperson added:
[A]ll affected Dallas and Denver Googlers will be offered opportunities within the company.
Google is working hard on its services and so far it has succeeded in keeping them up to the mark (their stock value rose to 1.89% yesterday), but there are some other areas which they need to consider in order to grow in a better way.
They have already started charging a huge amount (70% increase) from their employees for child day care facility. The point I’m trying to make is that if you wana grow better and utilise the maximum genius of your employees, you have to motivate them by giving incentives so that they won’t divert their attention. Employees must be given a suitable environment to work in. Lets hope we don’t get to see stuff like this in future.
Somehow I think that the employees at Google are fairly well off, and that nobody need worry about the state of employee affairs over there… Just a hunch.
It’s a good thing that they are still looking at the bottom line and seeing ways to improve. If I were a stockholder, that would impress me a ton. They are large enough where it doesn’t matter that much, but they are still doing it. Good for them.
It also tells that Google has now grown enough to start looking at ways and means to cut costs and shutting offices and slashing jobs is just one way to do it.