Google Cuts 35% of Small-Team Managers as Efficiency Drive Reshapes Workforce
Google has significantly reduced its management layers, trimming over one-third of managers who were overseeing small teams, as part of its broader push for efficiency and streamlined operations.
Brian Welle, Vice President of People Analytics and Performance, shared in an all-hands meeting that the company now has 35% fewer managers with smaller reporting teams compared to last year, reflecting rapid progress toward reducing internal bureaucracy.
The strategy aims to make leadership a smaller portion of the overall workforce, encouraging managers to shift into individual contributor roles where needed. This move follows Google’s broader restructuring efforts, including layoffs, buyouts, and slowed hiring across divisions, as the company emphasizes “doing more with less.”
CEO Sundar Pichai reinforced the need to scale more efficiently without relying solely on headcount growth. Since 2023, Google has eliminated about 6% of its workforce while continuing to implement cost-cutting initiatives. Executives also revealed that 10 product areas, including search, marketing, hardware, and people operations, have offered Voluntary Exit Programs (VEPs) to U.S. employees. Between 3% and 5% of staff in those teams have opted in, many citing the desire for a career break or family responsibilities.
Executives noted that voluntary exits have been well received compared to traditional layoffs, giving employees greater control over their decisions. Despite workforce reductions, Alphabet’s stock performance has remained strong, climbing 10% this year after double-digit gains in 2024 and 2023.
When asked if Google would consider Meta’s “recharge” policy, which grants a month-long sabbatical after five years, executives stated the company already provides competitive benefits and has no plans to introduce paid sabbaticals.
