Key takeaways:
- Meta announced it will lay off 10,000 more workers and incur restructuring costs of $3-5 billion.
- CEO Mark Zuckerberg warned that economic instability could continue for “many years.”
- The job cuts and restructuring costs come as Meta continues to face economic uncertainty due to the ongoing pandemic.
Meta, the parent company of Facebook, announced Tuesday that it will lay off 10,000 more workers and incur restructuring costs ranging from $3 billion to $5 billion. CEO Mark Zuckerberg warned that economic instability could continue for “many years.”
In a message to employees, Zuckerberg said that over the next couple of months, “org leaders will announce restructuring plans focused on flattening our orgs, canceling lower priority projects, and reducing our hiring rates.” He added that the company expects to announce restructurings and layoffs in its tech groups in late April, and then its business groups in late May.
The 10,000 job cuts come after Meta said in November that it was eliminating approximately 13% of its workforce, or 11,000 jobs, in the single largest round of cuts in the company’s history.
In a Facebook post Tuesday, Zuckerberg said the job cuts will take place “over the next couple of months.” He also noted that the company should prepare for “the possibility that this new economic reality may persist for many years.”
The job cuts and restructuring costs come as Meta continues to face economic uncertainty due to the ongoing pandemic. The company has already seen a decrease in revenue due to the pandemic, and the job cuts are expected to help the company remain financially stable.
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