Meta to Lay Off 5% of Workforce to Improve Performance Standards

Meta, the parent company of Facebook, has announced plans to reduce its workforce by approximately 5%, targeting employees identified as low performers, Bloomberg is reporting

This decision, outlined in an internal memo from CEO Mark Zuckerberg, is part of a broader strategy to enhance performance management and operational efficiency within the company.

As of September 2024, Meta employed around 72,000 individuals, indicating that this reduction could impact approximately 3,600 positions. Unlike previous layoffs, these cuts are performance-based, aiming to expedite the process of managing out employees who are not meeting expectations.

Despite the planned reductions, Meta intends to backfill these roles within the year. Zuckerberg emphasized that the company is positioning itself for an “intense year” with a focus on advancements in artificial intelligence, smart glasses, and the future of social media. The objective is to ensure that the company is staffed with high-performing individuals capable of driving innovation in these critical areas.

Employees in the U.S. affected by these cuts are expected to be notified on February 10, 2025, following the completion of performance reviews. Those outside the U.S. will receive notifications at a later date. Zuckerberg assured that the company would provide generous severance packages to those impacted.

This move follows a series of significant layoffs at Meta over the past few years. In 2023, dubbed the “year of efficiency” by Zuckerberg, the company eliminated 10,000 positions as part of efforts to streamline operations and reduce middle management.

The decision to implement performance-based cuts also aligns with broader industry trends, where major tech companies are reassessing their workforce compositions in response to economic pressures and the increasing integration of artificial intelligence.