The Meta Platform, formerly Facebook.Inc is laying off around 10 thousand people having started the process in April. The company laid off 11000 employees last fall. The layoffs will take place mostly in the non-engineering wings. The marketing, ad sales, and partnerships teams will be impacted the most. Meta had an explosive recruitment run doubling their employee count between 2020 and 2021. Now, as the post-pandemic flourish of ecommerce and advertising spree is waning out, these layoffs are a logical response to the company’s somewhat struggling financials.
Meta is trying to slim-down the non-engineering departments to create a balance between the engineering and business operations teams. Even in the technology teams they are cutting down jobs in content design and user-experience research. So far, the coders are in a safe position. There has been a layoff of 4000 employees in April following a smaller job cut in March. According to what Mark Zuckerberg said at a company town hall meeting, the layoffs should conclude by the end of May.
The decision by Meta to start laying off employees doesn’t come as much of a surprise. The company has lost $13.7 billion in their pivot project – Reality Labs. However, they are still keen on developing and marketing the Metaverse.
Facebook is fighting for market share with a bunch of new platforms. They have had very slow revenue growth over the last few months. The advertising market is in a very unstable situation right now owing to global inflation and the economic crises both in the US and Europe. At this juncture, layoffs like this are quite natural.
The laid off employees took to LinkedIn to share the incident. The overall job market for marketing, content, and design professionals is quite volatile at this point owing to the advent of AI driven technologies. A lot of professionals are retraining themselves to work with disruptive technologies to survive the ongoing onslaught of this near-recession situation.
Notably, all the tech giants have been laying off employees in large numbers since 2022. Amazon laid off 18000 employees, Microsoft let 13000 people go, while Alphabet cut 12000 jobs between 2022-2023.