Meta Platforms is facing a new lawsuit in California federal court, where 26 employees allege the company used artificial intelligence systems to decide who would be laid off. The workers say these systems unfairly targeted people with medical conditions, disabilities, or those who had taken medical leave, putting them at a disadvantage when thousands of jobs were cut earlier this year.
The employees, notified in May that their jobs would end with effect from 11 July, are asking the court to block Meta from completing the layoffs while their claims are heard. They argue that Meta’s internal AI tools scored and ranked staff based on productivity and system usage, which penalised those who missed work for health or family reasons.
Meta has denied the claims, saying workforce decisions are made by people, not AI. Still, the case is notable as it appears to be the first major lawsuit in the US challenging the use of AI in layoffs.
Meta cut nearly 8,000 jobs in May, about 10 per cent of its global workforce, as part of a wider restructuring to focus on artificial intelligence. The plaintiffs, from six states and Washington D.C., accuse the company of violating federal and state laws that protect workers with disabilities, medical leave, or pregnancy. They also claim Meta failed to check its AI systems for bias, which is required under new laws in California and New York City.
The case highlights growing concerns about AI in workforce management. For HR, it raises urgent questions about fairness, bias testing, and compliance when technology is used to make decisions that affect employees’ livelihoods.