Meta Platforms Inc. plans to reduce approximately 5% of its global workforce, impacting around 3,600 employees. By the end of September, the company employed 72,000 people worldwide. The cuts will affect staff who have been at Meta long enough to qualify for a performance review. In a simultaneous move, the technology giant will terminate its diversity, equity, and inclusion (DEI) programs.
Employees in the United States will be notified of their job status by February 10, while those in other countries will receive updates at a later date. Meta has committed to offering "generous severance" packages in keeping with previous job cuts. The company has indicated intentions to hire new personnel to fill the vacated positions later in the year.
The announcement follows closely on the heels of Meta's decision to eliminate third-party fact-checkers and prioritize free speech. This is part of a broader shift in focus towards artificial intelligence, as Meta continues to invest heavily in AI projects. The company aims to concentrate resources on what it describes as "some of the most important technologies of the world," including advancements in AI.
The layoffs are driven by a strategic initiative to "move out low-performers faster" in preparation for what CEO Mark Zuckerberg described as an "intense year." He articulated a need to "raise the bar on performance management" to align with the company's evolving goals.
Meta's stock has reacted negatively, falling by 2.3% on Tuesday, extending a downward trend from the previous day. This financial movement reflects investor response to the staff reductions and strategic shifts.