Meta Plans Thousands of More Cuts After Widespread Layoffs

Meta’s latest round of layoffs could hit as soon as this week. The parent company of Facebook and Meta could be laying off thousands of staffers.

The company is trying to finalize its headcount before CEO Mark Zuckerberg goes on parental leave. 

The job cuts could start this week and represent an additional round of layoffs, adding to the 13 percent of Meta workers who were laid off as part of a major cost-cutting plan announced in November.

This fresh round of headcount cuts is happening because of Meta’s financial targets, and is separate from Zuckerberg’s push for “flattening” Meta’s organizational structure, new reports said. 

News of this next round of layoffs comes four months after Meta axed more than 11,000 jobs, approximately 13 percent of its workforce at the time. 

In February, Zuckerberg also declared that 2023 will be a  “Year of Efficiency” for the company, and signaled during an earnings call that Meta wasn’t done with axing staff. 

He told analysts in February that Meta is focused on “cutting projects that aren’t performing or may no longer be crucial” and that it plans on “removing layers of middle management to make decisions faster.”

It is a challenging time for the massive technology company, which said its cost and expenses jumped 22 percent year-over-year to $25.8 billion during the fourth quarter while overall sales dropped 4 percent to $32 billion.

Meta’s core online advertising business continues facing hurdles because of factors including a tough digital advertising market, the lingering effects of Apple’s 2021 iOS privacy update, and increased competition from the ByteDance-owned TikTok.

But it also is due to the continued heavy investment in developing the “metaverse,” which Zuckerberg wants to be the next frontier for mainstream computing. 

Amazon, Microsoft, Google’s parent Alphabet, Yahoo, and Spotify are among other big tech companies that have cut thousands of jobs in recent months.

Be the first to comment

Leave a Reply

Your email address will not be published.