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Alphabet’s Layoffs Aren’t Very Googley

 1 year ago
source link: https://www.wired.com/story/plaintext-alphabets-layoffs-arent-very-googley/
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Silhouetted human figure walks in front of a multicolored neon Google sign in an office lobby
Photograph: Leonardo Munoz/Getty Images

Alphabet’s Layoffs Aren’t Very Googley

The company’s founders pioneered putting employees first and said they’d never bow down to Wall Street. How things have changed.

In 2004, Google cofounders Larry Page and Sergey Brin engaged in a comically passive-aggressive IPO road show. They eschewed business suits for casual garb, refused to answer many questions from finance bigwigs, and warned investors that instead of focusing on profits, the newly public company might apply its resources “to ameliorate a number of the world’s problems.” Both founders dreaded the restrictions of a public company and vowed that Google would never sing to Wall Street’s tune. To ensure they could do this, the founders structured the company so that they controlled the majority of voting shares. Instead of kicking back money to shareholders, Google would pamper the talent that drove its innovations, providing perks like in-house massages, free food, and lavish compensation. For instance, at the end of 2010, Page and Brin blew their workers’ minds by announcing an across-the-board 10 percent raise, a doubling of the generous annual bonus, and a $1,000 Christmas present, just for the hell of it. The beneficiaries already had top-of-market salaries augmented by lucrative equity shares. But the founders’ largesse made clear that they meant it when they said employees were the heart of the company.

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