Google will now help U.S. employees pay off student loan debt
- Google will help employees pay off their student loans starting in 2021.
- The company announced On Thursday, it will match up to $ 2,500 per employee per year, starting with Googlers in the United States.
- The student loan crisis in the United States is disproportionately affecting black borrowers, who are at risk of being more in debt than white borrowers. Groups of employees for the Black Googlers contributed to the realization of the new program, CNBC Reports.
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Google will start helping its employees pay off their student loans, the company announced Thursday.
Starting in 2021, Google will pay up to $ 2,500 in loan repayments per employee each year, starting with U.S. employees and expanding to its global workforce in the future. According to CNBC, the program will only be offered to full-time employees, not to contractors or temporary workers.
Google said the goal of the program is to help employees pay off their loans faster so they can save for retirement, start a family or buy a home.
As Google noted in its blog post, the high debt burden of student loans is more prevalent in the United States than in other countries. Total student loan debt in the United States has exceeded $ 1.5 trillion, people from marginalized groups generally taking on more debt than other borrowers.
The problem disproportionately affects black borrowers, who are more likely to have to take out loans, owe more when they graduate, and earn less than their white peers after graduation, making it difficult to repay loans. Eliminating more student loan debt would help narrow the wealth gap between black and white families, says analysis of the liberal think tank Roosevelt Institute.
John Casey, director of Global Benefits at Google, told employees in an email that two of the company’s employee resource groups, Black Googler Network and Black Leadership Advisory Group, had helped the company implement up the new student loan program, reports CNBC.
The new program is one of a few new perks that Google has added in the past six months as employees continue to work from home. While Google is known for its generous employee benefits, such as on-site wellness services, free snacks, and financial advisors, it has had to add new benefits to support a remote workforce. In April, Google added an additional eight weeks to its caregiver leave policy, which now allows employees to take up to 14 weeks per year to care for family members. And in May, Google provided employees with a stipend of $ 1,000 to set up a home office.