Skip to content

Meta Announces New Job Cuts, Impacting Engineer and Tech Teams

Meta Platforms Inc (NASDAQ: META) initiated another round of job cuts on Wednesday, targeting engineers and related tech teams. CEO Mark Zuckerberg is striving to streamline operations, hoping to make 2023 a "year of efficiency."

Mark Zuckerberg
Mark Zuckerberg

The Second Round of Mass Layoffs Begins

In March, Meta became the first major tech company to announce a second round of mass layoffs. The company stated that these layoffs would occur in three main batches over several months, affecting 10,000 employees.

Employee Morale Suffers Due to Layoffs

The expected job cuts led to frustration among Meta employees. Questions about the layoffs dominated internal company forums ahead of an upcoming employee town hall. Employees questioned leadership's decision and the effects on morale.

Meta's Initial Layoff Round Affects Over 11,000 Employees

The first round of layoffs in the fall impacted over 11,000 employees or 13% of Meta's workforce. This preceded other tech companies laying off thousands of workers after a pandemic-driven surge in digital advertising and cloud computing.

Facebook and Meta logos
Facebook and Meta logos

Company Restructuring and Investor Reaction

Meta is discontinuing lower-priority projects and reducing middle management as part of the restructuring. Investors have responded positively, with Meta shares increasing about 80% this year, outperforming the tech-heavy Nasdaq Composite's 16% rise.

Upcoming First-Quarter Results and Market Expectations

Meta will announce its first-quarter results on April 26. The company is anticipated to benefit from a slight increase in the digital advertising market and regulatory pressure on its main competitor, TikTok.