Meta Platforms to Implement Major Layoffs Amid AI Focus
Meta Platforms Announces Significant Workforce Reductions
Meta Platforms is preparing to reduce its workforce by approximately 16,000 employees in the upcoming months, with the initial phase expected to commence on May 20, affecting around 8,000 individuals, according to reports. This move could represent the company's largest restructuring effort to date. The decision follows CEO Mark Zuckerberg's commitment to advancing the company's capabilities in Artificial Intelligence (AI) and adapting its workforce for a more automated future.
Over the past year, Zuckerberg has consistently highlighted the goal of positioning Meta as a frontrunner in AI, focusing on everything from generative tools to the infrastructure necessary for extensive machine learning systems. Last month, reports indicated that the company was contemplating layoffs affecting 20% or more of its global staff, with additional reductions anticipated in the latter half of the year.
As per Layoffs.fyi, a platform monitoring job cuts in the tech sector, a total of 73,212 employees have been laid off globally this year. As of December 31, Meta had nearly 79,000 employees, according to its latest financial disclosures.
Other Major Layoffs in 2023
In addition to Meta, Disney has also revealed plans to lay off numerous employees across various divisions. What began as speculation has now turned into a significant reduction in workforce, with up to 1,000 jobs expected to be cut. This announcement was made by CEO Josh D’Amaro, marking one of the most considerable internal changes for the company in recent years.
Marvel Studios is among the most affected, with reports indicating that around 8% of its workforce will be laid off. Furthermore, Oracle, a US-based IT company, has announced layoffs affecting approximately 30,000 employees, including nearly 12,000 in India. Notably, Oracle's layoffs come with a stipulation: employees must complete the necessary paperwork via DocuSign to qualify for severance benefits, meaning no signature equates to no payout. The company has not yet released an official statement regarding the layoffs or the conditions tied to severance.