Meta cuts 5% of workforce amid performance concerns
- Meta will exit about 5% of its lowest-performing employees as part of a performance-focused strategy.
- Employees affected by the layoffs will receive severance and are expected to be notified by February 10.
- These cuts come as part of a broader effort by Meta to improve efficiency and performance management.
In early January 2025, Meta, the parent company of Facebook and Instagram, announced significant workforce reductions focused on lower-performing employees. The decision follows a memo from CEO Mark Zuckerberg, who highlighted the need for Meta to excel in an 'intense year' ahead. As per the plan, approximately 5% of the company’s lowest performers will be laid off, with affected employees informed by February 10. Meta's current workforce exceeds 72,000 staff members, and this move is part of a broader initiative to improve performance management and accountability within its ranks. Mark Zuckerberg emphasized the urgency for Meta to elevate its performance standards due to upcoming challenges. Historically, the company managed underperforming employees over an extended period but is now opting for immediate performance-based cuts. The company aims to achieve 10% of 'non-regrettable' attrition before the performance cycle ends, indicating a shift towards a more aggressive approach in managing talent. This change reflects a growing trend in corporate practices that prioritize high performance and accountability among employees. The decision to implement cuts also comes on the heels of Meta's past restructuring efforts, following an influx of job eliminations in 2022 and 2023 when it let go of around 21,000 jobs. Zuckerberg characterized 2023 as the 'Year of Efficiency,' during which another 10,000 roles were removed. Over recent years, Meta has faced scrutiny over operational changes and its regulatory practices, such as the discontinuation of its third-party fact-checking initiative, now shifted towards a community-driven model similar to practices seen on other platforms. This transition aligns with a new vision for the company that aims to strengthen the ties with its user base and reduce regulatory burdens as described by Zuckerberg. The forthcoming layoffs represent Meta's largest since its previous heavy cuts, further indicating that the tech industry is undergoing significant transformations, adapting performance metrics as a response to financial pressures and market demands. As Meta aims to attract more ambitious talent in the upcoming year, it will also backfill the positions vacated by the layoffs, which points to the company’s commitment to essential roles in technology and social media innovation. Overall, the layoffs are anticipated to have long-term effects on employee morale and company culture, as companies like Meta navigate through a challenging economic landscape and strive to maintain operational efficiency while also facing public scrutiny over their employment practices.