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Re: Google Layoffs - 10,000 Workers Affected


From: David Farber <dave () farber net>
Date: Tue, 25 Nov 2008 01:54:08 -0500



Begin forwarded message:

From: Brett Glass <brett () lariat net>
Date: November 25, 2008 12:36:47 AM EST
To: dave () farber net, "ip" <ip () v2 listbox com>
Subject: Re: [IP] Google Layoffs - 10,000 Workers Affected


Google reports to the SEC that it has 20,123 employees but in reality it has 30,000. Why the discrepancy? Google classifies 10,000 of the employees as temporary operational expenses or "workers".

It appears that, at least in this respect, Google has taken a leaf from the playbook of rival Microsoft -- which likewise has a large number of "permatemps." (The term is so frequently used that it is defined in Wikipedia; see

http://en.wikipedia.org/wiki/Permatemp

for the page.)

Incidentally, Microsoft in the late 90's settled a class action lawsuit (Vizcaino v. Microsoft) in which the "permatemps" sued for benefits, claiming that were really employees and were entitled to stock options and other benefits. Due to the run-up in Microsoft stock prior to the dot-com bust, many of them received handsome payouts. Microsoft also had to pay quite a lot in FICA, UI, and WC payments. Type "Vizcaino Microsoft" into any search engine for details.

--Brett Glass




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