Meta has conducted its largest round of layoffs since being founded in 2004.
CEO Mark Zuckerberg announced that over 11,000 people (around 13%) of employees would be laid off across various departments, with recruiting and business teams feeling the largest impact.
Formerly known as Facebook, the social media platform-turned-technology giant has consistently onboarded employees including data analysts, programmers, IT techs, marketing experts and more. But today marks the end of the company’s nearly two decade reign.
“I want to take accountability for these decisions and for how we got here,” said Zuckerberg in a letter to employees. “I know this is tough for everyone, and I’m especially sorry to those impacted.”
Meta has overcome countless controversies since its start, from questionable data privacy practices to allegations of disinformation peddling, but it turns out, Meta’s undoing simply came from a series of poor financial decisions.
In the last year or so, the company has accelerated its endeavors to become the leader of the metaverse, which is expected to be the next iteration of the internet. Although in its infancy, the company went so far as to complete a total rebranding and invest millions into this mixed reality concept.
Although Zuckerberg claims the layoffs come as a result of “growing too quickly,” it is more likely linked to excessive spending.
Laid off Meta employees in the U.S. will receive a 16 week severance package, as well as two more weeks for each year a person was employed. Additionally, fired workers and their family will continue to receive healthcare for six months.
“These cycles of boom and bust are incredibly destructive within organizations because people employed there feel like they don’t know where they stand,” said Sandra J. Sucher, a management professor at Harvard.
