Meta has begun cutting thousands of jobs as part of CEO Mark Zuckerberg’s continued push for efficiency and AI investment.
Affected employees in the US, Europe, and Asia have started receiving notifications, according to an internal memo obtained by Business Insider.
The company is eliminating about 5% of its workforce, equating to nearly 4,000 employees. Zuckerberg had warned staff in January that Meta would “raise the bar” on performance evaluations, leading to a crackdown on low-rated employees. This aligns with a broader trend in Big Tech, where companies like Microsoft and Amazon are also downsizing after pandemic-era hiring sprees.
Despite being profitable, Meta is aggressively reallocating resources to AI, requiring billions in infrastructure investment. Since Zuckerberg’s “year of efficiency” announcement in 2023, Meta’s stock has soared, adding over $1 trillion in market value.
Impacted employees in the US will receive a severance package including 16 weeks of pay plus two additional weeks per year of service. However, employees have voiced concerns about a culture of fear and uncertainty, with some comparing Meta’s environment to a George Orwell novel.
Meta is also restructuring, merging Facebook and Messenger teams while shifting leadership roles within its AI division. Reality Labs, Meta’s ambitious but loss-making metaverse division, is being reintegrated into the company’s core business.
European employees in countries like Germany and France are exempt from immediate layoffs due to labor laws, following local performance management processes instead.
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