We are constantly doing searches on Google, checking our GMail, sharing Docs & Spreadsheets, monitoring our Analytics, and navigating with Google Maps. Google is basically the source of productivity on the Internet. Perhaps this is the reason why Google has had one of the most successful IPOs in tech history. But the recession is causing them to feel the pain too.
Google’s market cap has dropped by almost half and their stock price has dropped by about 60%. Google’s policy has always been to keep employees happy and not to be evil. This is why they offered perks such as free meals, free doctors, ski trips, laundry facilities, etc. Google also allows employees to use 20% of their work hours contemplating ideas and miscellaneous projects.
Google is also cutting back on projects that has not been gaining much traction and ramping up ads in place that they have been before. Recently Google shut down Lively and Search Mash. And then the search engine company started placing ads on Google News and Google Finance.
Within the next couple of months, Google will also be planning to let go 10,000 contract workers. Google currently employs over 20,000 employees.