Meta is expected to lay off approximately 6,000 employees starting this week. The company previously terminated 11,000 employees in November and announced an additional 10,000 job cuts in March 2023. As the parent company of Facebook, Meta has already let go of 4,000 employees, leaving 6,000 more individuals who will be affected by the layoffs scheduled for May this year.
The primary reasons behind the layoffs have said to be the economic downturn and the slow growth that Meta has been experiencing, resulting in a decrease in revenue growth. Previously, in an email, the company also acknowledged that it had over-hired in recent years to meet business demands.
As per media reports, executives at Meta are planning to send a communication to employees, providing details about the timing of the layoff process and the teams which will be affected. Affected employees will receive an email notifying them about the impending layoffs.
Additionally, the company is expected to provide compensation similar to what was offered to previously laid-off employees. The question arises as to why Meta is conducting such a significant number of layoffs. CEO Mark Zuckerberg has previously provided explanations for this decision. One reason is the economic downturn and the slow growth that Meta has been experiencing, resulting in a decrease in revenue growth. In an email, the company acknowledged that it had over-hired in recent years to meet business demands. However, with the current challenges of slow growth and revenue struggles, Meta is now reducing its workforce to address these issues.
Meta’s CTO, Andrew Bosworth, stated that the company does not have any planned layoffs. He emphasised that the company intends to continue its operations, focusing on building and growth. However, Bosworth acknowledged that unforeseen circumstances such as a decline in revenue, economic downturn, or unexpected cost increases could potentially impact the company’s future. He emphasised the uncertainty of the future and the inability to predict such events. However, given the uncertain environment, the company has also commended the employees for their resilience and professionalism despite the challenging circumstances.
