Meta to cut 5% of jobs and shed "low performers faster"

Published On Jan 14, 2025, 5:07 PM

Meta, the parent company of Facebook, Instagram, and WhatsApp, plans to cut 5% of its global workforce, equating to approximately 3,600 jobs. This is part of a strategy to remove lower-performing employees more quickly, according to CEO Mark Zuckerberg. The job cuts will provide generous severance packages, and the company anticipates backfilling some of these roles in 2025. These layoffs follow other significant reductions in 2022 and 2023 as part of a broader effort for efficiency within the company.

Stock Forecasts

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Positive

Given the ongoing layoffs and the recent focus on increasing performance standards, Meta is attempting to streamline operations in a challenging business environment. This could lead to improved profitability in the long run as the company seeks to enhance its operational efficiency. However, the immediate impact may lead to market volatility and uncertainty around employee morale and productivity.

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