Google is revamping its employee performance systems

Google is revamping its employee performance systems

According to a CNBC report (opens in a new tab) , detailing worker dissatisfaction with Google Reviews and Development (GRAD system).

A recent show of hands reportedly saw company executives reveal just how serious the changes could be. Notably, up to 6% of the tech giant's workers could end up in a lower-ranking category, up to three times the previous 2%.

The number of employees likely to score in one of the top two categories will drop from 27% to around 22%.

Google Performance Ratings

While the proportion of workers who end up with average grades will remain unchanged, up to a percentage point, the change is likely to have knock-on effects on motivation and satisfaction.

CNBC reports that workers in the top category must have "achieved the near impossible" and contributed "more than we thought possible."

At the company's speakerphone in December, it seems many employees expressed concern about the changes. While the company has been largely unaffected by the massive budget cuts that have hit the tech industry in recent months amid global economic uncertainty, many believe the new GRAD changes could be grounds for layoffs.

In the future, the company hopes to reward workers in a move that will see it "spend more per capita on total compensation." This, coupled with the 23% year-over-year increase in its workforce in Q2022 XNUMX, could mean that Google wants to increase the average performance of its overall workforce, putting underperformers at risk.

TechRadar Pro has contacted Google for further comment.