Facebook’s parent company Meta is set to lay off 11,000 people and reduce its workforce by 13%, founder and CEO Mark Zuckerberg announced on Wednesday.
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By - Amit
In a message shared with Meta employees on Wednesday morning, Zuckerberg said he was making "some of the most difficult changes we’ve made in Meta’s history."
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"We’ve cut costs across our business, including scaling back budgets, reducing perks, and shrinking our real estate footprint," Zuckerberg continued
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Secondly, the uncertain economy has made jittery advertisers slash spending. The pullback has walloped Meta, since nearly all of its revenue comes from ads. It also has been bruising to ad-dependent services like Snap and YouTube.
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Calling the layoffs "some of the most difficult changes we've made in Meta's history," Meta CEO Mark Zuckerberg said the company over hired during the pandemic, assuming the ultra-rapid growth would keep going.
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According to Zuckerberg, the 11,000 employees who will lose their jobs at Meta will get 16 weeks of severance pay and health insurance for six months. Laid-off holders of visas will be provided resources to assist with changes in immigration status, he said.
IMG Credit - Google
Zuckerberg, in his note to employees, said the layoffs were a "last resort" decision that he was not anticipating, saying the length of the ad revenue slowdown this year, combined with increased competition from social media rivals, has impacted Meta's bottom line.