Meta Announces Layoffs Affecting 13% of Workforce; More Than 11,000 Employees to Be Fired Amidst ‘Cultural Shift’

Meta, the social network company, has announced that it will cut 11,000 jobs, letting go of 13% of the employees in its workforce amidst a “cultural shift” in the company. Mark Zuckerberg, director general de la empresa, explained this decision was made due to a need to become more “capital efficient,” and described the next steps the company will take moving forward.

Meta Fires 13% of Workforce

Mark Zuckerberg, CEO of Meta, the company previously known as Facebook, announced today the company would cut jobs for 13% of its workforce, letting go of more than 11,000 employees in the coming days. The decision comes after a determination to take the company in a “leaner and more efficient” direction, as the CEO explained in a entrada en el blog detailing the measure.

Zuckerberg said the company had believed the growth fueled by the coronavirus pandemic would be permanent, and that’s why it ramped up its investments. Zuckerberg acknowledged this has been a mistake, and also included the current macroeconomic conditions and increased competition as aggravators of the situation caused by a drop in revenue. Zuckerberg stated:

I got this wrong, and I take responsibility for that.

‘Cultural Shift’ Announced, Metaverse Commitment Reinforced

As part of the measures taken to increase the efficiency of the company, Zuckerberg stated that the layoffs are part of a “cultural shift” that will affect how the company operates. Como ejemplo, Meta will be sharing desktops amongst employees that are partially employed and will continue the current hiring freeze throughout Q1 2023. Es más, he added that more cost-cutting measures will be rolled out in coming days.

Some teams of the company will be more affected than others, Zuckerberg stated, with Reality Labs, the metaverse-focused division, also being mentioned among the affected divisions. Sin embargo, Zuckerberg remarked that his “long-term vision for the metaverse” will continue to be considered one of the “high-priority growth areas” for the company. The employees affected by these layoffs will enjoy a series of benefits that include severance, career services, and immigration services support for employees working with immigration visas.

The market reacted in a positive way to the announcement, with the price of Meta’s stock gaining casi 5% in the premarket, en el momento de escribir. Meta’s stock price has been pummeled este año, going from $331 in January to $96 this week, in part thanks to the lukewarm reaction that investors have had regarding the pivot the company is making to the metaverse and to the losses that the Reality Labs division, responsible for metaverse developments, has registered thus far.

What do you think about the more than 11,000 employees to be laid off by Meta? Cuéntanos en la sección de comentarios a continuación..

Sergio Goschenko

Sergio es un periodista de criptomonedas radicado en Venezuela. Se describe a sí mismo como retrasado en el juego., ingresando a la criptosfera cuando el precio subió durante diciembre 2017. Tener una formación en ingeniería informática., viviendo en venezuela, y ser impactado por el boom de las criptomonedas a nivel social, él ofrece un punto de vista diferente sobre el éxito de las criptomonedas y cómo ayuda a los no bancarizados y desatendidos.

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