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Meta begins cutting 8,000 positions in AI transformation
Thousands of Meta workers are learning on Wednesday whether they still have a job as the social media giant begins cutting 8,000 positions, representing about 10% of its global workforce.
MENLO PARK, Calif. - Thousands of Meta workers are learning on Wednesday whether they still have a job as the social media giant begins cutting 8,000 positions, representing about 10% of its global workforce. The layoffs are part of a broader corporate transition to transform Meta into an artificial intelligence company.
Laid off notices
What we know:
The notification process began overseas in Singapore around 4 a.m. local time. In the United States, affected workers will be notified of their job status via email. Meta's human resources executives have recommended that all employees work from home this week while the cuts are carried out.
Meta executives announced the layoffs last month, citing a need to make the company more efficient and to offset massive investments into AI.
Earlier this year, Meta CEO Mark Zuckerberg informed investors that the company plans to spend between $115 billion and $135 billion on AI projects this year alone, including funding for Meta's "AI Superintelligence Lab."
The downsizing aligns with a broader contraction in the tech sector, following recent layoff announcements from companies like Microsoft, Block, and Coinbase.
What they're saying:
"Right now, what we're seeing is a revamp of the white collar industry... that traditionally was unaffected by advances in technology," said Parag Amin, a business attorney and analyst. "Companies such as Meta are looking at the real possibility... that's a trend we'll continue to see increase in the future."
For employees staying at the company, roles are shifting rapidly.
What's next:
The New York Times reported that approximately 7,000 workers unaffected by the layoffs will be reassigned to work directly on AI projects. Additionally, news agency Reuters reported last month that Meta has installed tracking software on employee computers to capture mouse movements, clicks, and keyboard shortcuts. The data collection is designed to train the company's AI systems to better perform tasks currently completed by human workers.
Meta stated that the 8,000 workers laid off will receive at least 16 weeks of severance pay.