As a result of rising inflation and a weakening global economy, Nvidia has been cutting back on its hiring process. With the rise, the company is slowing down to integrate the new employees and will primarily focus on taking care of the existing employees.
The priority will be focusing on the company’s budget as the hiring process has been quite a success this year. In April, they shredded 9% of their workforce to enhance operational reflectivity.
In reaction to the rising threat of inflation, Nvidia has established a hiring freeze. Job offers are still being processed, but no counter-offers will be made to new employees. This comes on the heels of the chip-maker agreeing to pay $5.5 million to settle legal charges.
In a report published by the Times Of India, the corporation or the company has already notified hiring managers about its decision for less hiring. It informed that it is suspending hiring, though employment proposals are still being considered.
According to an internal Slack message, the company’s leadership would like to take a vacation to integrate the hundreds of new employees who had recently been hired. It was emphasized that this is a stoppage, not a hiring freeze.
Only 10% of those who apply for the job openings will be hired by the chipmaker. This comes on the heels of a $5.5 million settlement deal to address civil allegations. The US Securities and Exchange Commission filed the civil charges (SEC). The company’s chips were used to mine cryptocurrencies.
The on-sight planned interview will not stop but the company has decided to make the hiring process a bit difficult, that is they are going to raise their standards to the highest levels.
The sudden decision of reducing the hiring posts is basically after Nvidia’s agreement had to pay $5.5 million to settle long-running litigation charges that the chipmaker attempted to conceal the cryptocurrency mining impact on its gaming business. Since at least 2018, the company’s chips have been used to mine cryptocurrencies such as Ethereum.
In its back-to-back quarterly financial reports in fiscal 2018, the firm was found to have “failed to indicate that crypto mining was a fundamental part of their material revenue growth from the sale of its graphics processing units (GPUs) developed and promoted for gaming.”
It has come to the notice of the New Indian Express that an internal message has been sent to the hiring managers that it is not a hiring freeze but just a ‘pause’ in the whole process of hiring.