Google will cut back some of the company's offered perks to its employees, including fitness classes and shuttle rides, as it aims to cut back on its expenses.

The Daily Wire reported that the company's CEO, Sundar Pichai, announced earlier this year that around 12,000 positions would be eliminated due to ongoing macroeconomic turmoil.

In a memo sent to employees Friday and obtained by Business Insider, Google CFO Ruth Porat noted that the budget cuts were driven by a "challenging economic environment" and "incredible investment opportunities to drive technology further."

The memo said cafes, MicroKitchens, and other facilities would be altered based on how and when they are being best used, with the decisions will be mainly based on data.

Equipment and technology used by employees will also be reviewed, allowing Google to "save meaningfully."

The firm's disclosures with the California Worker Adjustment and Retraining Notification system revealed that at least 31 massage therapists and 21 trust and safety department members were dismissed as part of the layoffs.

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Google Employees Losing Perks

Aside from fitness classes and MicroKitchens, Google will also cut back on office supplies such as staplers and tape. It will also affect the frequency of laptop replacements for employees.

Porat said in the email that one of the company's important objectives for this year is to "deliver durable savings through improved velocity and efficiency," CNBC News reported.

The budget cuts have also been shown in other ways, such as the company declining to pay the remainder of the laid-off employees' maternity and medical leaves.

Porat noted that the most difficult decision the company has ever made was the layoffs. She cited 2008 as the same year that Google was economically challenged, wherein the company saw its expenses growing faster than its revenue.

At the time, Porta said they narrowed their real estate investments and tightened budgets on cafes and MicroKitchens. It also removed the hybrid vehicle subsidiary.

Company employees without engineering roles will be given Chromeback by default if they need a new laptop. Apple MacBooks were previously available to employees.

Employees can no longer expense mobile phones if one is available internally. Employees will need a director or above approval if they need an accessory costing more than $1,000.

Companies Cutting Costs

Several companies have announced the same intent to cut costs, such as Disney. The media and entertainment mogul announced in February that it would reorganize its company into three segments while tightening its budget.

According to CNBC, Disney will slash 7,000 jobs from its workforce and plan to cut $5.5 billion in costs, including $3 billion in content savings.

The company's three divisions will include Disney Entertainment, which will hold most of its streaming and media operations. The second division will be an ESPN segment with the ESPN+ streaming service and a Parks, Experience, and Products Unit.

Recently, McDonald's has temporarily closed its U.S. offices ahead of layoffs. The company noted that the layoffs are applied to make McDonald's more efficient.

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This article is owned by Latin Post.

Written by Mary Webber

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