
Google has informed its employees that there will be fewer promotions to more senior positions this year compared to previous years. According to an email viewed by CNBC, the promotion process will be manager-led and similar to last year's process, but due to a slower pace of hiring, there will be fewer promotions into L6 and above, which is the first layer of staff considered senior.
This move comes as Google implements its new performance review system, Google Reviews and Development (GRAD), which aims to ensure that the number of Googlers in senior and leadership roles grows in proportion to the growth of the company.
The changes in Google's promotion policy come amid concerns about the company's sprawling middle management and its ability to efficiently ship products. To address this, Google conducted an internal survey last year, which highlighted the need to streamline middle management.
The email to employees stated that workers in technical roles who want to be promoted can self-nominate themselves between March 6-8. However, the final decision will be made by the manager, who will nominate employees they believe are ready for a promotion. The email also mentioned that promoting fewer people to senior roles is necessary to ensure that the number of employees in senior and leadership roles grows in proportion to the company's growth.
The company is also cutting costs as growth decelerates and recession concerns persist. Google announced in January that it will be cutting 12,000 jobs, which amounts to about 6 per cent of its workforce.
"We've decided to reduce our workforce by approximately 12,000 roles. We've already sent a separate email to employees in the US who are affected. In other countries, this process will take longer due to local laws and practices," CEO Sundar Pichai said in a statement.
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