Google Saved Over $1 Billion In 2020, Thanks To Employees Working From Home
The money that was saved by the search engine giant was able to offset costs that the company incurred with the new hiring of thousands of workers.
When the COVID-19 pandemic hit the world, several offices around the world announced that they¡¯re going to allow their employees to work from home. Google was one of them.
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Also Read: Google's Hybrid Work Model: More People To Work From Home Even After COVID-19 End
And now, a recent Bloomberg report has revealed that Google¡¯s parent company Alphabet, during its first quarter, saved $268 million in expenses from company promotions, travel, and entertainment, compared to the same period last year.
Looking at a similar figure throughout the year, Alphabet reported in its report earlier this year that advertising and promotional expenses dropped by a whopping $1.4 billion in 2020 as the company toned down or in some cases even paused or rescheduled campaigns or turned some events to be digital-only due to the pandemic caused by the novel coronavirus. The company also saw a drop in entertainment expenses by $371 million.
In case you didn¡¯t know, Google is known to take good care of its employees when they¡¯re at work, by providing them with all kinds of fun perks including massage tables, catered cuisine and fun corporate retreats. With most Google employees working from home since March last year, costs in all these areas were bound to drop.
The money that was saved by the search engine giant was able to offset costs that the company incurred with the new hiring of thousands of workers. The pandemic also allowed the company to keep its marketing and administrative costs almost flat for the first quarter even though it experienced a revenue boost of 34 percent.
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Also Read: Google Allows Work From Home Till Sept 2021, And Only 3 Days A Week In Office After
Last year in September, Alphabet CEO, Sundar Pichai, in an interview shared that they¡¯re looking to bring a ¡®hybrid¡¯ work model that will extend the current remote-working situation for people who prefer it. This would allow convenience to people who commute for hours on a daily basis.
Moreover, in a survey conducted by Google for its employees, 10 percent of people don¡¯t wish to come to the office at all in future (which used to be 20 percent in May), whereas 15 percent wish that they¡¯d only come to the office when it's absolutely necessary.
