Meta Platforms Inc. is about to clean house. Reportedly, Meta is cutting roughly 5% of its staff through performance-based terminations and plans to hire new people to fill their roles this year, according to an internal memo sent to all employees.
As of September 2024, Meta employed about 72,000 people, so a 5% reduction could affect roughly 3,600 jobs. “I’ve decided to raise the bar on performance management and move out low-performers faster,” Chief Executive Officer Mark Zuckerberg said in the note posted to an internal message board and reviewed by Bloomberg News.
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“We typically manage out people who aren’t meeting expectations over the course of a year,” he said, “but now we’re going to do more extensive performance-based cuts during this cycle.”
Those in the U.S. who will be affected by the layoffs are expected to be notified by Feb. 10, 2025, while international workers will be informed at a later date, according to the memo.
The company has been adjusting its focus, especially with ongoing challenges in digital advertising revenue and its investments in new areas like the Metaverse.
The layoffs are part of Meta’s strategy to improve efficiency and reduce costs, and they follow previous rounds of layoffs and cost-cutting measures at the company.
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Meta, formerly known as Facebook, is a leading global technology company focused on social media, virtual reality, and digital advertising. Founded by Zuckerberg in 2004, Meta owns several major platforms, including Facebook, Instagram, WhatsApp, and Oculus. The company has evolved from a social networking platform into a major player in the tech world, exploring innovations like the metaverse and augmented reality.
Meta’s business model relies heavily on advertising revenue, while it also invests in future technologies such as AI and virtual worlds. In recent years, the company has faced challenges, including regulatory scrutiny and market competition.