"Meanwhile, someone at Google woke up one day and realized that the company was subsidizing each child to the tune of $37,000 a year — which nobody had noticed up until then — compared with the $12,000-a-year average subsidy of other big Silicon Valley companies like Cisco Systems and Oracle."
It seems that Google was quite generous over the years and finally realized that given the difficult economic times that they as a company must do something to bring their internal spending in line to a more realistic range. I don't see why Google should be penalized for such a move.
Unfortunately for Google, the fact that this is a move that affects children and families such a story becomes even more sensitive. Google is a business like any other business out there. Why are they being treated as though they are something other than a business?