Layoff Day at Meta Has Arrived
Business Insider • • business
Key Points:
- Meta has begun notifying approximately 10% of its 78,000 employees about layoffs, expected to eliminate around 8,000 roles in three waves starting May 20.
- US employees affected will receive severance packages including 16 weeks of base pay plus two weeks per year of service, along with 18 months of healthcare coverage, tripling previous benefits.
- Managerial positions across Meta will be cut to create flatter organizational structures with smaller, more agile teams, according to HR chief Janelle Gale.
- Since the layoff announcement in April, employee morale has suffered, with many working in uncertainty; Meta aims to offset investments and improve efficiency through these cuts.
- Meta plans to reassign over 7,000 employees to new AI initiatives as part of its significant investment in AI, forecasting capital expenditures of $125 billion to $145 billion by 2026.