- Meta plans to cut about 10% of its workforce, impacting roughly 8,000 employees
- Layoffs start May 20, and hiring freezes for 6,000 open positions will be implemented
- Severance includes 16 weeks base pay plus two weeks per year worked and COBRA coverage
Meta, led by Mark Zuckerberg, is set to cut roughly 10% of its workforce, affecting about 8,000 employees. This latest round of layoffs comes as the company ramps up investment in artificial intelligence. The job cuts will begin on May 20, and Meta will also halt hiring for around 6,000 open roles.
In January, it eliminated nearly 1,000 roles in its Reality Labs division focused on the metaverse. More layoffs in March affected teams across Facebook, sales and operations.
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According to Meta, these changes aim to improve efficiency and strengthen its focus on artificial intelligence. The company is rapidly restructuring its workforce as it struggles to compete with OpenAI, Google, and Anthropic. It is also replacing some contractor roles with AI-driven tools.
Which Department Will Be Affected?
Meta has not yet detailed the full scope of these layoffs.
Meta's layoffs this year would be its biggest since the 2022–2023 restructuring, which it called the “year of efficiency”. At that time, the company cut about 21,000 jobs. It is now in a stronger financial position but still aims for fewer management layers and more AI-driven efficiency in its workforce, Reuters reported.
How Much Will Laid Off Workers Get?
The company said that the severance package for the affected employees includes 16 weeks of base pay and additional compensation based on tenure. Affected staff at Meta will receive at least four months of severance pay. They will also get two weeks of pay for each year they worked. Employees will also get COBRA health coverage for up to 18 months, according to Business Insider.
In a memo to its employees, the company said: “Normally, we would want to nail down more details before communicating about this broadly, but since this has leaked, I want to share what I can right now. I know this is unwelcome news and confirming this puts everyone in an uneasy state, but we feel this is the best path forward, given the circumstances.”
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Meta said that the packages outside the US will be similar but vary by country. It will also provide career services and immigration support for affected employees.
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