Alphabet will hire new staff at a reduced rate for the remainder of 2020, CEO Sundar Pichai confirmed in a company-wide email.
According to Bloomberg, Pichai said the company would also be “recalibrating the focus and pace of our investments in areas like data centres and machines, and non business essential marketing and travel.”
In other words, the company is looking to cut costs wherever it can.
Bloomberg calls this “the most drastic action” the company has taken since the Covid-19 pandemic took hold of global markets.
“The entire global economy is hurting, and Google and Alphabet are not immune to the effects of this global pandemic,” Pichai wrote.
“We exist in an ecosystem of partnerships and interconnected businesses, many of whom are feeling significant pain.”
However, this doesn’t mean the company will stop hiring altogether. According to a Google spokesperson, the firm will maintain hiring momentum “in a small number of strategic areas [and] on-boarding the many people who’ve been hired but haven’t started yet.”
Alphabet had almost 120,000 full-time employees at the end of last year. In 2019 alone, it recruited a 20,000 new staff members.