After laying off more than 11,000 people in November 2022 and introducing a vast austerity plan, Mark Zuckerberg assured the forces still present that there would be no additional layoffs. Eventually, it won’t.
As you may know, the current financial crisis has hit GAFAM hard in 2022. Whether it’s Google, Microsoft, Twitter or Meta, no one has really been spared. Many employees were fired from Twitter after Elon Musk took over the social network, and some have even filed complaints of unfair dismissal.
In the process, it was Facebook’s turn to announce a massive restructuring plan. More than 11,000 employees were pushed out. A necessary measure according to Mark Zuckerberg, while Meta lost 52% of its profits for the year 2022 (only $ 4.4 billion collected). Google followed suit next, inviting 12,000 employees out the door. Same observation at Microsoft, which decided to return more than 11,000 employees worldwide.
To come back to Meta, Mark Zuckerberg had tried to reassure the forces still present by declaring that he would not “did not foresee any further layoffs“. He added that these many departures were essential for “minimize the risks of having to make extensive layoffs like this in the foreseeable future.” But finally, the CEO will go back on his word.
Meta will lay off again, contrary to Mark Zuckerberg’s promises
According to an anonymous source who spoke in the columns of the Washington Post, Meta is bracing for another round of job cuts. The American company would have instructed its lawyers, its financial experts and its senior executives to review the hierarchical organization, in getting rid of as many positions of responsibility as possible.
So, In particular, Meta plans to demote certain executives, with the aim of “simplifying” the management of the company by limiting the intermediaries in the hierarchy. Other managers would in fact find themselves in charge of a greater number of employees as the teams grow. According to the source, this method could push disempowered executives away from themselves… Which would by default reduce the company’s workforce.
We remember that during the summer of 2022, the creator of Facebook had caused controversy by inviting the least productive employees to question their presence in the company. Finally, the Washington Post states that Meta is also considering “traditional” cuts as well as the elimination of certain projects and jobs.
Source: Washington Post