Meta, parent company of Facebook and Instagram, cuts another 10,000 jobs
Meta, the parent company of Facebook, had already made significant job cuts on November 9.
Meta, the parent company of Facebook and Instagram, will cut 10,000 additional jobs in 2023, or about 13% of its troops, announced its CEO Mark Zuckerberg. The company had already eliminated 11,000 jobs last November.
We expect to reduce our team by approximately 10,000 people and close approximately 5,000 open positions that are not had not yet been filled, Mark Zuckerberg said Tuesday morning in a message to Meta employees.
At the end of these two waves, Meta will have reduced its workforce by 24%.
These dismissals are part of a restructuring of the company which notably wishes to cancel its lower priority projects and reduce its hiring. Mark Zuckerberg has also indicated that the recruitment team would be one of the first affected by the job cuts. We'll let the hiring team members know whether or not they're impacted tomorrow.
Layoff announcements will come in April 2023 for the technology and en May 2023 for sales teams.
In some cases, it may take until the end of the year to make these cuts, added Mark Zuckerberg.
Our timelines for international teams are also different, and local leaders will provide more details to their teams.
“It will be difficult, but there is no way around it. these changes.
—Mark Zuckerberg, CEO of Meta, parent company of Facebook and Instagram
The announcement sent Meta shares up 2% before markets opened.
Mark Zuckerberg had already announced that 2023 would be the year of efficiency for Meta, notably by reducing expenses by several billion dollars.
The shaky economy of the past year has led to a series of mass layoffs at corporate America, from banks like Goldman Sachs and Morgan Stanley to tech companies like Amazon and Microsoft.
Meta has been hiring employees at a breakneck pace for years, especially during the COVID-19 pandemic which had boosted the use of mobile applications, leading to greater growth . At its peak last year, Meta had 87,000 full-time employees.
But the company has been facing several challenges in recent months. Its advertising revenue is down due to inflation cutting the budgets of several companies, but also due to changes made by Apple to the iPhone operating system (iOS), which restricts Meta's ability to collect data about its users.
In 2022, Meta's revenue contracted by 1% to 116.6 billion US dollars.
With information from Reuters, BBC, New York Times, and Agence France-Presse