Meta to Lay Off Approximately 8,000 Employees
Meta Inc. has announced to its staff that it plans to reduce its workforce by around 8,000 employees, which amounts to roughly 10% of its total team. This drastic move is part of a strategy to bolster its investment in the artificial intelligence sector.
In a memo shared with employees, the company revealed the details of these upcoming layoffs, expected to commence on May 20th. Chief Human Resources Officer Janelle Gale acknowledged the challenging nature of this news, stating, “We know this is unwelcome news and confirming this leaves everyone in a state of anxiety, but we believe this is the best path forward given the circumstances,” as reported by Bloomberg News.
In the Bay Area alone, around 200 employees will be affected, as Meta channels billions into its AI infrastructure.
A spokesperson for Meta chose not to elaborate on the layoffs but did verify the memo’s existence and its sentiments to FOX Business.
Meanwhile, other tech firms are following suit with job cuts amid the increasing focus on AI investments. Microsoft recently offered voluntary retirement options to about 8,750 employees, representing 7% of its U.S. workforce, according to Bloomberg.
In the memo, Gale noted that the layoffs are intended to help the company operate more efficiently while balancing the significant investments they plan to make.
This decision isn’t taken lightly, as Gale remarks, “This is not an easy trade-off. It means letting go of people who have made meaningful contributions to the Meta during their time here.”
Those who are laid off will receive generous severance packages and career support to assist them in finding new employment, along with immigration assistance for individuals affected by these changes.
This announcement follows Meta’s previous layoffs, which had seen around 11,000 employees, or about 13% of the workforce, let go in November 2022, followed by another round that cut approximately 10,000 employees a few months later. As of December 31, according to their latest filing, the company had about 79,000 employees.
