Meta’s Major Restructuring Plans
Meta Inc., led by Mark Zuckerberg, has instructed its North American employees to work from home on Wednesday as it prepares to lay off about 10% of its global workforce. This move is part of a significant restructuring initiative.
Internal documents indicate that the layoffs will occur in three separate phases, with affected employees receiving notifications via email at 4 a.m. local time in their respective areas.
Janelle Gale, who oversees human resources at Meta, stated that this decision comes alongside an announcement of organizational changes. Approximately 7,000 employees are expected to transition into new positions within Meta, which operates Facebook and Instagram.
Gale explained that leaders within the organization are adapting to changes by integrating AI-native design principles into their new structures. She mentioned that many organizations are now functioning in a flatter structure with smaller teams, which can enhance productivity and foster a sense of ownership.
In line with this reorganization, the company is reducing managerial roles as it increasingly depends on artificial intelligence tools for its operations.
Before these layoffs were announced, one employee described the office environment as chaotic, expressing fears of potential redundancy. The employee voiced frustrations about the leadership, characterizing the experience as the most stressful job they’ve ever had.
At the beginning of the year, Meta had close to 79,000 employees, making these upcoming layoffs some of the most considerable in the company’s history.
Meta has promised laid-off employees a severance package comprising at least 16 weeks of base pay, with additional compensation based on their tenure, along with medical and career support benefits.
In a memo last month, Gale noted that the layoffs are intended to promote a more efficient operation of the company, especially as it invests heavily in AI development.
The company plans to allocate $145 billion in capital spending this year, partly due to the construction of new AI data centers and skyrocketing memory prices.
Meta did not provide immediate comments regarding additional inquiries. However, further job cuts are anticipated in the latter half of this year, although specifics on the timing and extent are still unclear.
Zuckerberg has aimed to simplify Meta’s leadership structure in recent years. He laid off over 20,000 employees in 2022 and 2023 as part of the company’s drive towards “efficiency.”
These layoffs are occurring in the broader context of AI-related job reductions, particularly within the tech industry.
According to Challenger, Gray & Christmas, 52,050 technology jobs were eliminated in the first quarter of 2026, representing a 40% increase compared to the same period in the previous year.
In March, AI was identified as a primary factor in job cuts within the tech sector, accounting for 15,341 layoffs, or 25% of the total, a noticeable rise from 10% just a month prior.
