Google CEO Pichai says company will slow hiring through 2023 in memo to employees

LOS ANGELES, CALIFORNIA - JUNE 09: Google CEO Sundar Pichai speaks at a panel at the CEO Summit of the Americas hosted by the U.S. Chamber of Commerce on June 09, 2022 in Los Angeles, California. The CEO Summit entered its second day of events with a formal signing for the “International Coalition to Connect Marine Protected Areas” and a speech from U.S. President Joe Biden. (Photo by Anna Moneymaker/Getty Images)

In an email to employees on Tuesday, CEO Sundar Pichai said that the pace of hiring and investments would be slowed.

The memo was viewed by CNBC. We have shown on sunnier days that we need to be more entrepreneurial and focused.

The uncertain global economic outlook has been uppermost in his mind.

The tech industry as a whole is down 21% so far this year as investors pull out of the stocks that drove the bull market of the past ten years. The CFO warned of another rough period after the company missed analyst estimates.

The economy grew 34% in the first three months of the year, but it grew 23% in the first quarter. The company has hired 10,000 people in the second quarter.

The pace of hiring will be slowed because of the hiring progress achieved so far this year. The company will hire on engineering, technical and other critical roles for the rest of the decade.

A person from the search engine declined to speak.

Google will be more specific about where it spends money during this time of uncertainty.

Consolidating where investments overlap and streamlining processes is one way to do that. He said it would mean using development and re-Deploying resources to higher priority areas.

In the end of the note, Pichai told employees that he was excited for them to rise to the moment again. Mark Mahaney says there are no good places to hide in technology.