Meta is planning a new round of layoffs in an effort to reorganize the company hierarchy and downsize its total headcount.
Part of this reorganization includes demoting company leaders into lower-level roles and flattening layers of Meta’s management, a source told Washington Post. Meanwhile, other managers will be managing more employees as teams grow, while some expect demoted employees to eventually resign following their demotion – in effect reducing the company’s workers.
According to the source, the layoffs and slashing of jobs and projects won’t happen overnight, and are likely to roll out in the coming months.
The tech giant had its initial layoffs last November, affecting 11,000 workers or 13 percent of its workforce. According to CEO Mark Zuckerberg’s letter to employees, affecting organizations across Family of Apps and Reality Labs. “We’re also restructuring our business teams more substantially. This is not a reflection of the great work these groups have done, but what we need going forward,” he explained.
After the layoffs last November, the CEO held a Meta companywide meeting where he told his employees the job cuts would “minimize the chance of having to do broad layoffs like this for the foreseeable future.”
“I obviously can’t sit here and promise you that nothing will happen in the future because it’s a very volatile environment... But what I can say is that for where we are right now, that’s what I foresee,” he added.
Despite this, the CEO told investors early February that 2023 will be the “year of efficiency,” with plans to cut middle management, hinting at further layoffs which have now been confirmed.
“We closed last year with some difficult layoffs and restructuring some teams,” Zuckerberg told the investors. “When we did this, I said clearly that this was the beginning of our focus on efficiency and not the end.”
Amid the cost-cutting efforts, the social media platform is also rolling out new ways to gain revenue. A few days ago, Zuckerberg announced ‘Meta Verified’ - a paid subscription service for Facebook and Instagram users to obtain the blue verified check mark in their account and have access to added customer support and account protection.
The new service is priced at $11.99 a month for web, and $14.99 a month for tablets and mobile devices.
