Following Microsoft, Google now pursues cost-cutting: Offers voluntary exit packages to employees in 5 countries; heavy AI spending strains the budget.

After Microsoft, Google has announced buyout offers in five countries. To reduce costs, the company is offering employees in Canada, France, Germany, Japan, and Switzerland the option to leave their jobs voluntarily in exchange for an exit package.

Amidst heavy expenditure on artificial intelligence and a growing workforce, Alphabet—Google’s parent company—has taken this step to focus on its AI strategy and reallocate resources according to its current priorities.

Employees in India are not included in this exit program.

A Google spokesperson informed Reuters that the company launched a “voluntary exit program” for certain employees in Canada, France, Germany, Japan, and Switzerland, starting in June. For now, Google has not included employees in India in this exit package.

The tech giant has been running similar exit programs in select divisions across the United States and the United Kingdom since last year. The company states that this program is an option for employees who no longer feel aligned with Google’s new vision and direction.

Company’s focus on AI and cloud computing.

Under the leadership of Sundar Pichai, the company aims to shift its resources toward sectors that rank highest on its list of priorities.

With a primary focus on artificial intelligence (AI) and cloud computing, these sectors have also become the top priorities for Google’s recruitment efforts.

This is why, during previous rounds of buyout offers, employees within the ‘Google Cloud’ division and the AI ​​unit ‘DeepMind’ were excluded.

What is Google’s plan for Switzerland? Google has a major engineering hub in Zurich, Switzerland, where approximately 5,000 employees work. In June, the company offered an exit package to employees there, providing them until July to apply.

Employees who opted for this offer are set to receive one month’s salary for every year of service, up to a maximum of 12 months’ salary.

Wall Street Concerned Over Heavy AI Spending

Google and other major companies are pouring vast amounts of money into AI technology. Wall Street investors are concerned about this heavy expenditure, which has led to a decline in Alphabet’s share price.

Recently, the tech company Microsoft also offered buyout contracts to 60,000 employees as part of an effort to rein in its expenses.

Company’s Workforce Surpasses 204,000

Alphabet’s headcount has grown steadily over the recent period. By the end of September 2026, the total number of employees at Google had reached 204,000.

The company added approximately 10,000 new employees in just six months—a period during which most other tech companies were shifting their business strategies and reducing their workforces.

Acquisition of ‘Wiz’ Adds 2,000 Employees

A significant factor behind this surge in headcount was an acquisition. In March of this year, Google acquired the cybersecurity firm ‘Wiz,’ which resulted in 2,000 Wiz employees joining Google.

What is a Buyout Offer?

When a company offers employees the option to resign voluntarily—rather than terminating their employment—it is known as a buyout or a voluntary exit program.

Under such a program, employees who choose to resign receive a one-time severance package (a lump-sum payment) and additional benefits in recognition of their service.