Layoffs raged in 2022 in the tech world and are unfortunately continuing at the start of the year. The opportunity to look at the compensation offered by Big Tech to the employees they thank.
News: Google has just announced the dismissal of 12,000 members of its staff, the day after Microsoft’s announcement.
context : the reasons put forward for Meta, Amazon, Microsoft and now Google are always the same, namely an unfavorable context, caused by growing inflation and the high interest rates associated with it, but also a pessimistic outlook for the months to to come. Added to this are the crazy hirings made during the coronavirus pandemic, which proved to be far too ambitious after the return to “normal”.
To note : further layoffs cannot be ruled out during the current year, analysts predict, because the difficult situation that American technology companies have faced is likely to continue for some time to come.
Meta and its 11,000 jobs cut
Particularly in bad shape in 2022, Mark Zuckerberg’s company opened the ball to mass layoffs, with no less than 11,000 jobs lost.
- She was also the most generous since she offered them a minimum of 16 weeks of paid salary, plus 2 additional weeks for each year of service without imposed limit, indicated Mark Zuckerberg in his note sent to employees.
- Meta will also pay all vacation pay.
- As for those who are part of the restricted stock unit (RSU) program – which allows the employer to remunerate its employees in the form of company shares –, their due was logically paid to them on 15 november.
- More so, Meta will continue to pay health insurance coverage for 6 months to terminated employees, as well as their dependents.
- The company will provide three months of career coaching with an outside provider, including “early access to unpublished job leads.”
- For workers on company-sponsored visas, they will have “a notice period before termination and certain visa grace periods, which means everyone will have time to make plans and to work on his immigration status,” Meta said in his memo.
Amazon and its 18,000 employees thanked
The giant of online sales sites fairly quickly entered the dance by thanking a record number of people.
- Three months’ salary will be paid to affected employees, plus 1 week’s salary for every six months with the company, reports The Street.
- The company also offered offers to those who would leave voluntarily.
Microsoft and the 5% of its workforce amputated
If the Redmond firm publicly announced the news in a publication accessible to all, it did not mention the duration of the severance packages offered to the dismissed employees.
- However, she assured that she would provide “a severance package above the market”.
- The dismissed personnel, approximately 10,000 people, will retain their medical coverage for 6 months, as well as the continuous vesting of share awards during the same period and a 60-day notice period before termination.
- “Benefits for employees outside the United States will align with each country’s employment laws,” said company CEO Satya Nadella.
Google and its 12,000 employees laid off
In his letter announcing the bad news, picked up by CNBCGoogle CEO Sundar Pichai detailed the severance package for affected staff.
- Initially, employees will be paid for the entire notification period (minimum 60 days)
- They will then receive, like the employees of Meta, a severance package starting at 16 weeks of salary, plus 2 weeks for each additional year at Google. As for their RSUs, their acquisition will be accelerated within 16 weeks.
- The 2022 bonuses and the remaining holidays will be paid to them.
- “We will offer 6 months of healthcare, job placement services and immigration support for those affected,” Google continues in its letter.
Outside the United States, Google will follow local practices regarding termination.
The special case of Twitter
The dismissals – of almost half of the staff – within the social network were not really linked to the macroeconomic situation, but rather to the seizure of power by Elon Musk.
- The latter had offered 3 months of wages to the dismissed employees, as well as 2 months of non-working wages in accordance with the WARN law (Worker Adjustment and Retraining Notification).
- However, several ex-employees of the company claim to have only received one month’s salary so far.