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Economy & Money

Google staff demand AI-era layoff shields

Google staff demand AI-era layoff shields

Over 4,500 Google employees have demanded job security guarantees from management, highlighting a widening rift between soaring tech valuations and a Silicon Valley layoff wave driven by artificial intelligence investment.

More than 4,500 Google workers delivered a petition to chief executive Sundar Pichai on Thursday demanding sweeping layoff protections as the company redirects billions toward artificial intelligence. The petition, led by the Alphabet Workers Union, calls for guaranteed severance, voluntary buyouts before mandatory cuts, and the option to take severance as extended paid leave. Workers were met with closed doors but left the document with a staff member who pledged to deliver it to the CEO.

The protest underscores a growing tension between record corporate wealth and workforce instability. Parul Koul, a Google software engineer and the union's president, noted the company's $4 trillion valuation, which has quadrupled in six years. “These layoffs and cuts are not difficult decisions, but simply profit being put over the people that make this company run,” Koul said.

Across Silicon Valley, major technology firms are thinning their ranks to fund heavy AI expenditures, sending a clear signal to markets about where future margins will come from. Oracle laid off roughly 21,000 employees over the past year, stating in an annual report that AI deployment "may continue to result in reductions to our workforce". Block cut nearly half its staff, about 4,000 jobs, with CEO Jack Dorsey citing AI efficiency gains, while Microsoft announced 4,800 cuts in its Xbox division.

Google’s own workforce has steadily contracted despite its public commitment to the technology. The company recently cut Google Cloud staff and eliminated more than a third of its managers overseeing small teams last summer. Chief financial officer Anat Ashkenazi recently called AI a “key investment area” where the company plans to continue hiring and boost marketing, though the company declined to say if AI directly caused the layoffs.

For employees, the rapid deployment of these tools has created acute anxiety about immediate job displacement. Dan Freedman, a Google engineer who builds AI tools for designers, said he now worries he is not using the technology enough to protect his position. “I have to wonder if I’m next,” he said.

A legal and cultural flashpoint

The labor pushback is escalating into direct legal challenges. A day before the Google petition went public, dozens of Meta employees sued the company, alleging it used artificial intelligence tools to target them for mass layoffs after they requested medical or maternity leave. Meta, which cut around 8,000 jobs earlier this year, denied the claims, stating they “lack merit and are not based on facts.”

The Alphabet union has previously secured voluntary exit packages for more than 70,000 workers, but Koul emphasized that management has ignored broader demands. “This petition is the largest piece of employee feedback that Google has received about job security,” she said. For investors and competitors alike, the unrest reveals the human friction inherent in the industry's most significant technological pivot in decades.

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