Meta (Formerly Facebook) Plans Mass Firing This Week
Last updated on November 21st, 2022 at 03:58 pm
After Twitter, Facebook parent company Meta is also planning for large-scale (many thousands) layoffs this week, as per the reports of The Wall Street Journal.
With plans to fire thousands of workers this week, Facebook parent company Meta will join a growing list of digital companies that are reducing their workforces, according to American media on 6th November.
The Wall Street Journal said that the layoffs might affect “many thousands” of Meta staff members and that a declaration was anticipated as early as November 9.
On its various platforms, which include the social media platforms Facebook and Instagram as well as the messaging service Whatsapp, Meta has roughly 87,000 employees as of September 30.
The CEO of Meta, Mark Zuckerberg, stated in his report of the company’s poor third quarter results that the number of employees would not expand by the end of 2023 and might even somewhat drop.
The most recent intentions from Meta come after recent declarations by other tech companies to halt hiring or reduce their personnel as the sector battles economic headwinds.
On Thursday, Silicon Valley companies Stripe and Lyft announced significant layoffs, and Amazon imposed a recruiting freeze at its corporate headquarters.
About half of Twitter’s 7,500 employees were unexpectedly sacked last week after Elon Musk recently acquired the company.
Platforms that rely on advertising, like Facebook and Alphabet’s Google, are experiencing a decrease in advertising spending as a result of inflation and increasing interest rates.
In the third quarter, Meta’s profits dropped to $4.4 billion, a 52% year-over-year decline.
The poor results significantly lowered Meta’s stock price, which dropped 25% in one day. Over the past year, the company’s value has decreased to $600 billion.
Investors have been concerned about Mr. Zuckerberg’s choice to put significant amounts into building the metaverse throughout addition to its ad-supported commercial difficulties.