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Zuckerberg to fire 10,000 more staff in second round of layoffs


After an extensive hiring spree that doubled the employee count it had as of 2020, Meta laid off 13% of its workforce towards the end of last year (Picture: AFP)

Facebook-parent Meta said that it would cut 10,000 jobs this year after firing 11,000 employees across Facebook and Instagram in November.

The announcement on Tuesday makes it the first Big Tech company to announce a second round of mass layoffs.

After an extensive hiring spree that doubled the employee count it had as of 2020, Meta laid off 13% of its workforce towards the end of last year.

In a message to staff, Chief Executive Mark Zuckerberg said most of the cuts would be announced in April and May, though in some cases they would continue through the end of the year.

‘For most of our history, we saw rapid revenue growth year after year and had the resources to invest in many new products. But last year was a humbling wake-up call,’ Zuckerberg wrote.

The job cuts are part of a restructuring that will see the company scrap hiring plans for 5,000 openings (Credits: Bloomberg via Getty Images)

‘I think we should prepare ourselves for the possibility that this new economic reality will continue for many years.’

The widely-anticipated job cuts are part of a restructuring that will see the company scrap hiring plans for 5,000 openings, kill off lower-priority projects and ‘flatten’ layers of middle management.

Zuckerberg said Meta will remove multiple layers of management, ask managers to become individual contributors and give them less than 10 direct reports.

The company will also further reduce the size of the recruiting team, which was especially hard-hit in the fall layoffs.

Restructurings in the tech group would be announced in late April and cuts to business groups would come in May.

Most of the cuts would be announced in April and May (Picture: Reuters)

With the latest move, Meta expects expenses in 2023 to come in between $86 billion and $92 billion, lower than the $89 billion to $95 billion forecast previously.

Several technology companies, including Microsoft, Twitter and Snap have cut jobs and scaled back hiring in recent months as global economic growth slows due to higher interest rates, rising inflation and an energy crisis in Europe.

The disappointing outlook comes as Meta is contending with slowing global economic growth, competition from TikTok, privacy changes from Apple, concerns about massive spending on the metaverse and the ever-present threat of regulation.

Meta, is also pouring billions of dollars to build a futuristic metaverse that could take about a decade to bear fruit. In the meantime, he has had to freeze hiring, shutter projects and reorganise teams to trim costs.

The tech industry has laid off nearly 290,000 workers since the start of 2022, with about 40% of them coming this year, according to layoff-tracking site layoffs.fyi.


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