Google closes Motorola Mobility Israel as restructuring kicks off

Google closes Motorola Mobility Israel as restructuring kicks off

A week after it confirmed that it would cut its 20,000-strong workforce by a fifth and “close or consolidate” around 30 of its facilities worldwide, Google has kicked off its restructuring efforts by closing Motorola Mobility Israel and firing its small workforce.

As reported by Globes, Google closed Motorola’s Netanya-based office, laying off 30 employees in the process. Motorola officials issued a short and sharp statement to the Israeli newspaper, stating: “We are closing the local branch, and the employees will not remain at the company.”

Google began notifying its employees of job cuts and office closures on August 12, 2012, later alerting its investors via an 8-K filing with the SEC. In this document, Google said that it expects to lose up to $275 million, which will be absorbed in the company’s third fiscal quarter, with further costs being realised by the end of the year.

Ensuring employees will be well compensated following the cuts, Google says it will provide “generous severance packages, as well as outplacement services to help the employees find new jobs.” The company said that it couldn’t “currently predict the amount of these other charges” but expects them to be significant.

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