It has an enduring reputation for having been cushy in the past - and it might still feel cushy if you happen to mesh well with the prevailing company culture. But many people don't see it that way, apparently - to the point where they feel that their work itself is being impacted. And the way the whole Rubin story has been handled is also indicative of very real problems, to be sure. Many people want to work in a thoroughly professional environment, some place they can feel genuinely proud to be within - I can't blame the Google folks for walking out.
Maybe Google has gotten worse, but the way the employees reacted to this "scandal" leads me to believe that they're acting entitled. Rubin was accused of harassment and asked to leave. That's all that should matter from an employee's perspective. The $90 million payout was a hedge to ensure that Rubin doesn't sue Google and cause negative publicity. It's not coming out of the employee's paycheck, so it's none of their business.