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Meta layoffs: Mark Zuckerberg to fire 8000 from., drops hiring plans, reason is.

Meta layoffs: Mark Zuckerberg to fire 8000 from., drops hiring plans, reason is.

News24 Online 3 months ago

Meta is set to carry out another major round of layoffs, with CEO Mark Zuckerberg planning to cut around 8000 jobs globally. The move comes alongside a decision to scrap thousands of open roles, signalling a deeper shift in how the company is restructuring its workforce and priorities.

Layoffs to begin from May 20

According to an internal memo by Meta's Chief People Officer Janelle Gale, the layoffs will begin on May 20. The company plans to reduce nearly 10% of its workforce, which currently stands at around 79,000 employees.

The communication acknowledged that the announcement came earlier than planned due to a leak, but confirmed that affected employees will be notified via email on the same day.

Hiring plans scrapped

In addition to job cuts, Meta has also decided to cancel around 6000 open roles, dealing a double blow to both existing employees and job seekers.

This indicates that the restructuring is not just about reducing current headcount, but also about slowing down future hiring as the company recalibrates its priorities.

What the internal memo said

In the memo, Janelle Gale stated that the layoffs are part of efforts to make the organisation "more efficient" and to balance investments in other areas. She admitted the decision was difficult and would impact employees who had made meaningful contributions.

Meta has also outlined severance benefits, including 16 weeks of base pay, additional compensation based on tenure and up to 18 months of healthcare coverage for US employees. Support for job placement and immigration-related assistance will also be provided.

AI push driving the decision

While the memo does not directly blame artificial intelligence, the broader context clearly points towards Meta's aggressive AI investments. The company is planning to significantly increase its spending on AI infrastructure, reportedly aiming for around $135 billion in 2026, nearly double previous levels.

Zuckerberg has already indicated that AI will fundamentally change how work is done, with smaller teams able to achieve what once required large groups. This shift is reducing the need for a larger workforce in certain areas.

More layoffs could follow

Reports suggest that the current round of 8,000 layoffs may not be the end. Meta could cut up to 16,000 jobs in 2026, indicating that another wave of reductions may follow later this year.

This highlights a broader restructuring strategy rather than a one-time decision.

Part of a wider Big Tech trend

Meta is not alone in this approach. Other tech giants like Microsoft and Amazon have also announced layoffs and hiring slowdowns as they redirect funds towards AI and automation.

The shift reflects a broader trend where companies are prioritising efficiency and advanced technologies over workforce expansion.

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Disclaimer: This content has not been generated, created or edited by Dailyhunt. Publisher: news24online