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Tuesday, March 11, 2008 7:14 PM/EST

Google Says Layoffs Are Coming

After nearly a year of wrangling, Google's long-sought acquisition of online ad delivery service DoubleClick was completed March 11. The $3.1 billion deal was completed within hours after the Europe Commission removed the final roadblock to the purchase with its approval.

"Although it's been nearly a year since we announced our intention to acquire DoubleClick last April, we are no less excited today about the benefits that the combination of our two companies will bring to the online advertising market," wrote CEO and Chairman Eric Schmidt on Google's official blog shortly after the announcement was made.

However, the positive mood lasted only a few paragraphs before the search and advertising giant told observers to expect layoffs.

"As with most mergers, there may be reductions in headcount," explained Schmidt.

Layoffs are expected to take place in the United States but "possibly in other regions as well." Google expects to spend the next few weeks matching and aligning DoubleClick's employees with its own. It expects to have the process completed by early April.

From the tone of the blog entry, it appears that Google expects to have an easier time laying off U.S. employees than foreign ones, something that may expedite the reductions.

"Outside the U.S., the steps we will propose are subject to consultation with employee representatives where applicable, and of course any decisions will be made in accordance with local law. The exact timing of the process outside the U.S. will vary based on the needs and requirements of each region," wrote Schmidt.

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Comments (5)

I wonder how many they will get rid of?

Kevin Brown :

Send 'em to Microsoft, Bill Gates is whining about not having enough H1B visas to enslave foreign workers in the USA.

US layoffs are easier. In Europe employees actually have employment contracts (vs. "at will" employment in the US) that spell out severance terms. Then there's local law -- in places like Germany and France, you need workers council agreement to do a headcount reduction in many circumstances.

Shingo :

I bet those laid-off workers would never use Google for searching online.

SueLynn :

I agree with Matthew. US layoffs are easier. Company I used to work for laid off many workers in US but couldn't in EMEA. Now we're rehired as contractors with no benefits while our former EMEA colleagues are still employees, with all benefits, etc. Company which everyone thinks is so American.

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