Meta Platforms Inc. has announced plans to cut approximately 5% of its lowest-performing employees in a bid to enhance overall performance and streamline operations, as per an internal memo from CEO Mark Zuckerberg.
This latest round of layoffs, which is expected to impact about 3,600 employees, forms part of the company's broader efforts under its "Year of Efficiency" initiative.
The move follows a trend of significant workforce reductions at Meta, which has already laid off thousands over the past year as part of a cost-cutting and team realignment strategy. With a workforce of around 72,000 employees as of September 2024, a 5% reduction equates to the loss of thousands of positions across various departments.
In the internal memo shared with employees, Zuckerberg emphasized that the decision to increase the speed of performance-based terminations was necessary to raise the bar on performance management.
Historically, Meta had provided employees with a year to meet performance expectations before considering their exit from the company. However, the new approach will expedite the process of moving out low performers during the current cycle.
"I’ve decided to raise the bar on performance management and move out low performers faster," Zuckerberg wrote. "We typically manage out people who aren’t meeting expectations over the course of a year, but now we’re going to do more extensive performance-based cuts during this cycle."
The layoffs are part of a larger effort to achieve a target of 10% "non-regrettable" attrition by the end of the current performance cycle, with 5% of that figure expected to come from 2024 alone.
Affected employees who have been with the company long enough to undergo a performance review will be those deemed underperforming.
Despite the layoffs, Meta assured employees that those impacted would receive "generous severance" packages. While this offer may soften the blow for those leaving, the decision has sparked concern both internally and externally, particularly given the company's recent shift in policy direction.
Meta's ongoing restructuring efforts also include changes to its content moderation policies, with the company relaxing rules on posts related to controversial topics such as immigration and transgender rights. The move, framed as promoting "free expression," has faced significant backlash from both employees and advocacy groups, who worry it may harm marginalized communities.
Moreover, Meta recently announced the discontinuation of its third-party fact-checking program in the United States, raising alarms about the potential spread of misinformation on its platforms, which have a far-reaching influence on public discourse.
The company has also scaled back its internal diversity programs, a decision that has drawn criticism from those who view it as a departure from its previous commitment to fostering inclusivity within the workforce.
