Google offers exit packages to employees as it doubles down on AI-first strategy

Explained: Is Google asking people to quit?

The voluntary exit package (VEP) is reportedly aimed at employees who may feel out of sync with the organisation's transformation involving an AI-first strategy or are not comfortable with the current pace of change. This is the third such exit programme announced by Google in less than 12 months. Google reportedly is planning a third round of what is called a voluntary exit package (VEP) for employees in its global business organisation (GBO). Here is all you need to know about Google's voluntary separation plan for its employees. What were Google employees told? According to Business Insider, this came as an internal memo on Tuesday to employees from chief business officer Philipp Schindler. The memo read, "We're starting the year in a strong position thanks to everything you accomplished in 2025. But the game is dynamic, the pace is electric, and the stakes are high." Schindler informed GBO employees that they will have to be 'all in' on the organisation's AI-first strategy. What is GBO, and who all are impacted? The GBO vertical drives growth for Google's ad products and services. The programme is reportedly aimed at employees who may feel out of sync with this transformation or are not comfortable with the current pace of change. The offer reportedly applies to teams within solutions, sales, corporate development, and certain other GBO functions. However, large customer sales teams in the US and other customer-facing roles are excluded to minimise disruption to clients, according to the report. There is no clarity on the number of employees involved in the GBO team and, hence, those who may be impacted by this programme. Is this the first time Google has announced a voluntary exit? No. This is the third voluntary exit programme announced by Google in less than 12 months. It offered similar provisions to employees of other teams, once in June 2025 during a return-to-office push and again in October 2025 amid a YouTube reorganisation. How is VEP different from layoffs? In plain language, VEPs are subtler than layoffs and prevent companies from receiving public backlash and from landing in trouble as much as layoffs would. Google has positioned this option as a way to streamline operations and reduce organisational layers without resorting to immediate layoffs. VEPs can be considered as mutual decoupling, while layoffs are a breakup from one side. Although both lead to reduced headcount, there is a difference in control, legal implications, and company culture. Is Google the first one to offer such a proposition? No, in the last two years alone, several companies have offered similar options to employees. In 2024, SAP Labs announced plans to restructure 8,000 jobs for enhanced integration with AI, claiming to spend €2 billion to either reskill employees or to ask them to go through voluntary redundancy programs. Automaker Nissan also offered a voluntary separation plan (VSP) to select employees in 2024 and 2025. Another automaker, Stellantis, offered buyouts to some factory workers in 2025 in Detroit, Ohio, and Illinois.

After record profits, Google is offering exit packages to employees amid AI shift

Eligible employees can receive 14 weeks of base pay plus extra per year of service, while key customer-facing roles are excluded to avoid client disruption. Google is offering some employees the option to leave with a severance package even after the company recently reported its highest-ever annual revenue. According to a report by Business Insider, Google's Chief Business Officer Philipp Schindler recently informed staff that selected teams within its Global Business Organization (GBO) can apply for a voluntary exit programme (VEP). The message was delivered via an internal mail on February 10, 2026, and made it clear that the company is sharpening its focus on artificial intelligence and expects employees to align with this direction. Those who feel they are not ready for the electric pace or the shift toward AI have been given a choice to step away under the new plan in the United States. The GBO oversees Google's advertising products and is responsible for driving much of the company's revenue worldwide. This was made public just after Alphabet reported its highest-ever annual revenue of $402.8 billion for 2025, marking its first-ever milestone of surpassing $400 billion. While highlighting the strong performance, Schindler noted that the industry is moving quickly and that competition is growing. He told employees that everyone in the unit needs to be all in and ready to embrace AI to make a bigger impact. Also read: Motorola Edge 50 Pro available with over Rs 13,300 on this platform Under the voluntary exit programme, certain US-based employees in roles such as sales, solutions teams, and corporate development are eligible for severance if they choose to leave. The reported package includes 14 weeks of base pay plus one additional week for every year of service. Schindler said the offer is meant for those who may not be comfortable with the speed of change or who are considering moving on from the company. However, the program does not apply to large customer sales teams in the US and other customer-facing roles. Google said this step is aimed at avoiding disruption for clients, with applications set to be processed by late March 2026. Also read: Android 17 release timeline, features, eligible devices and all other latest leaks This is not the first time Google has done it, as the company has previously offered buyouts in other units such as YouTube and engineering and marketing teams throughout 2025. Furthermore, Google is not the only company which has followed this approach; other major technology companies have followed the same tactic to modify their workforce composition as they seek to invest more in the field of AI. From the trends seen in the companies operating in the sector, it is evident that AI is the next growth area for the companies, with Alphabet alone planning to spend up to $185 billion on AI infrastructure in 2026.