In its ongoing effort to streamline operations, Google has reduced its top management roles by 10%, CEO Sundar Pichai revealed during an all-hands meeting on Wednesday. This move comes as part of a yearslong efficiency push aimed at simplifying the company and driving productivity.
The decision, which impacts managerial, director-level, and vice president positions, was made to align with the tech giant’s evolving business goals.
A Google spokesperson clarified to Business Insider that some of the affected management roles were transitioned into nonmanagerial positions, while others were eliminated entirely. This marks a continuation of Google’s efficiency strategy first outlined in September 2022, when Pichai aimed to improve efficiency by 20%.
This push gained momentum with the company’s January 2023 layoffs, which saw 12,000 positions, roughly 6% of its workforce, eliminated in one of the most significant rounds of job cuts in Google’s history.
Google’s drive for efficiency coincides with mounting competition in artificial intelligence. Rivals such as OpenAI have launched groundbreaking products, posing a threat to Google’s dominance in areas like search.
In response, Google has ramped up its AI initiatives, adding generative AI features to its core businesses and introducing innovative tools. Recent launches include an AI video generator that reportedly outperformed OpenAI’s in testing, and the Gemini model series, which includes a “reasoning” model designed to showcase its decision-making process.
During the same meeting, Pichai addressed another topic: redefining “Googleyness,” a term often used internally to describe the company’s culture and values. “It’s time to update what Googleyness means for today’s Google,” he told employees, signalling a cultural shift to align with the company’s modern challenges.