After a 13% decrease in the workforce in November of last year, the world’s largest social network intends to continue laying off thousands of workers in order to improve the company’s performance. Bloomberg claims that Meta is “flattening” the firm structure, decreasing the number of management levels and eliminating unnecessary elements. This is now taking place and may affect thousands of workers.
This cut is being made to meet budgetary goals and is unrelated to the “flattening” strategy mentioned above. With a reduction in ad revenue, Meta is moving its attention to the metaverse.
[Young Vietnamese technology workers in the US adjust to a wave of layoffs]
Meta is believed to have requested management to provide a list of staff who may be let go. A spokesperson for Meta declined to comment on the reports.
Meta announced in early February that the company’s revenue fell by 1% to $116.6 billion in 2022. This is the first time that the company’s revenue has decreased since it went public in 2012.
CEO Mark Zuckerberg identified Meta’s 2023 management theme as the “Year of Efficiency”, whereby the company’s leadership would seek to create “a stronger and more resilient organization”. He stated that Meta is concentrating on removing layers of middle management and adopting AI technologies to assist engineers to work more effectively. In addition, Meta will also be more aggressive when it comes to reducing dormant or non-priority initiatives.
Meta stated in November 2022 that it will lay off 11,000 employees, or 13% of its overall workforce. This is the most significant employee cut in Meta’s history.