With the holidays upon us, Google is apparently swimming in so much advertising cash you almost imagine their main lobby looks like Scrooge McDuck’s swimming pool. BusinessInsider is reportingthat all Google employees will receive $1,000 in cold hard cash as a “holiday bonus”. With approximately 20,000 employees, that amounts to $20 million. Not exactly chump change, but certainly within Google’s means. And in a nice touch, Google will pay the income taxes on the generous holiday gift, enabling employees to keep the entire amount.
But wait, there’s more!
In a firm-wide letter sent to employees, Google CEO Eric Schmidt informed the masses that they will all be receiving a 10% salary increase for 2011 starting on January 1.
In addition, Google will also give each employee an additional raise equivalent to 1X the employee’s target bonus for the year. And employees will be eligible for additional “merit increases” based on their individual performance.
Below is what purports to be the internal email sent to Google employees from Schmidt.
I’m pleased to share some very, very good news with Googlers worldwide. But first let me say, on behalf of everyone on the management team, that we believe we have the best employees in the world. Period. The brightest, most capable group of this size ever assembled. It’s why I’m excited to come to work every day–and I’m sure you feel the same way. We want to make sure that you feel rewarded for your hard work, and we want to continue to attract the best people to Google.
So that is why we’ve decided…to give all of you a 10% raise, effective January 1st. This salary increase is global and across the board–everyone gets a raise, no matter their level, to recognize the contribution that each and every one of you makes to Google.
There’s more. We’ve heard from your feedback on Googlegeistand other surveys that salary is more important to you than any other component of pay (i.e., bonus and equity). To address that, we’re moving a portion of your bonus into your base salary, so now it’s income you can count on, every time you get your paycheck. That’s also effective January 1st. You’ll be receiving an email shortly with further details about these changes to your compensation. And one last thing…today we’re announcing that everyone will get a holiday cash bonus, too.
Googlers, you are what makes this company great, and our goal here is to recognize you for your contribution, in a way that’s meaningful to you. Thank you for all that you do, and for making Google a place where magic happens.