Google Campus LogoSource: Android Central

What you need to know

  • Google parent Alphabet saved over $1 billion in 2020 "as a result of COVID-19."
  • Alphabet saw its travel and entertainment expenses decline by $371 million last year.
  • Google will allow its employees to continue working from home until September.

Back in March last year, Google began advising its employees around the world to work from home due to COVID-19. While working from home has its downsides, the shift has had a positive impact on Alphabet's business.

Since its employees are working from home and aren't traveling anywhere near as much as they used to before the pandemic struck, Bloomberg suggests Alphabet has saved over $1 billion in the last year.

A recent filing by the company revealed it saved $268 million during the first quarter of the year due to a reduction in expenses from travel and entertainment as well as company promotions as a result of the pandemic. Alphabet noted in its annual report earlier this year that its travel and entertainment expenses fell by $371 million last year.

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The company also said that advertising and promotional expenses fell by a whopping $1.4 billion due to reduced spending, paused or rescheduled campaigns, and online-only events to announce its best Android phones. These savings helped offset the costs involved with hiring thousands of new workers.

The huge savings aren't really surprising, as Google offers a ton of perks to its employees — including massage tables, catered cuisine, corporate retreats, and more. Google will allow its employees to continue working from home till September, after which they will have to formally apply for working remotely for more than 14 days per year.

Like many other tech giants, Google will be adopting a "hybrid" model to return to the office, allowing employees to work at least three days a week in the office and from home the other days.

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