The announced figure represents a big jump from the earlier forecast of around 2-4% cost reductions that Meta announced in July. ()
To achieve its latest goal, Facebook’s parent company has already begun shedding a large number of employees by reorganizing departments and giving affected employees a limited window to apply for other roles at Meta, according to the report. report.
The idea behind this move is to reduce the workforce while avoiding the mass issuance of redundancy letters, and the reductions should be the prelude to larger reductions, according to the report.
In an email response, Meta on Wednesday reiterated its intention to steadily scale back its workforce growth over the next year.
The company’s business has taken a hit in recent months as recession fears and competitive pressures have hit digital ad sales.
Reuters reported in June that Meta had cut plans to hire engineers by at least 30% this year as it braces for a deep economic downturn.