Google promises 10% pay rise to counter staff poaching

Google is to give its entire 23,000 workforce a 10 percent pay rise in a bid to retain staff.


Google is to give its entire 23,000 workforce a 10 percent pay rise in a bid to retain staff.

However, according to the Google employee who leaked news of the raises has been fired.

A Google spokeswoman told Computerworld on Wednesday evening that the company would not comment on "personnel matters."

The raises, which are reported to become effective in January, are an attempt to keep Google employees from jumping ship and heading to other Internet-focused companies like Facebook , reports the Wall Street Journal . About 10% of Facebook's staff, for instance, are former Google employees.

Earlier on Wednesday, Google declined to confirm the report directly, but said in an e-mailed statement to Computerworld: "While we don't typically comment on internal matters, we do believe that competitive compensation plans are important to the future of the company."

Google's reported attempt to keep employees loyal to the company comes as its rivalry with Microsoft intensifies. The two companies have a wide-ranging battleground -- from search engines to cloud -based office applications and browsers .

And now a new rivalry with Facebook is beginning to heat up.

Last month, Facebook turned to Microsoft instead of Google when it launched an effort to tie search more closely to social networking. Industry analysts said Microsoft's Bing search engine has failed to steal much, if any, of Google's share of the search market. However, by taking advantage of Facebook's worldwide popularity, Bing could start to make some gains.

More recently, Google and Facebook have been in something of a war of words surrounding the issue of data portability. The contention boils down to the ability to move user data back and forth between Web services, such as Google's Gmail and Facebook.

Analysts speculate that such issues could end up exposing Google's Achilles' heel.

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