Meta is preparing for another round of significant job cuts, focusing on employees with lower performance ratings, as part of a broader restructuring strategy. The company’s internal memo, issued by Hillary Champion, Meta’s Director of People Development Growth Programs, revealed plans to implement these layoffs in the coming weeks. The memo outlines how the process will work and reinforces Meta’s intention to swiftly remove underperforming employees. The company aims to achieve 10% non-regrettable attrition by the end of the current performance cycle, which represents employees that the company believes it can afford to lose without negative impact.
This effort to reach a 10% attrition rate includes a 5% additional staff reduction on top of the 5% cuts made last year, meaning the company is planning to eliminate a significant portion of its workforce over the course of these two years. Meta’s performance-based review system is central to this process, and those employees rated as “Met Some” or “Did Not Meet” expectations will automatically be placed on the list for termination. These performance ratings categorize employees as underperforming or not meeting the standards that Meta has set, making them vulnerable to layoffs.
However, employees who receive a “Met Most” rating, while not automatically subject to layoffs, could also face job cuts depending on the overall attrition targets. In this case, those rated “Met Most” could still be at risk for termination if Meta’s workforce reduction targets are not met and the number of employees rated lower exceeds expectations. As mentioned in the memo, the company will review these employees in consultation with their directors and vice presidents, determining who will be terminated to reach the necessary attrition rate for the year. The number of terminations in this category will vary, depending on how many underperforming employees are rated below the "Met Most" level.
The overall goal of these measures is to ensure that Meta has the strongest possible talent working across its various divisions. This is especially important as the company focuses its attention on artificial intelligence (AI), virtual reality (VR), and social media, with these sectors representing key areas of future growth. By aggressively pruning its workforce, Meta intends to free up resources and talent, allowing it to concentrate on the projects that will drive its success in the future.
In an internal memo to employees, Meta’s CEO Mark Zuckerberg elaborated on the company’s broader strategy behind these layoffs. He highlighted that these cuts were essential in ensuring that the company’s workforce aligns with its long-term vision, particularly in the realm of innovation and cutting-edge technologies. Zuckerberg emphasized that the company’s ambitious goals necessitate a lean, high-performing workforce. The company must prioritize retaining top-tier talent and eliminating low performers to maintain its competitive edge in a rapidly evolving tech landscape.
The layoffs are part of a larger restructuring effort that has seen Meta scale back certain programs. For example, the company has reduced focus on its diversity and inclusion initiatives and even halted its third-party fact-checking program. These changes suggest that Meta is simplifying its operations and putting less emphasis on some of its social responsibility efforts in favor of driving more performance-driven goals. Zuckerberg noted that these changes were necessary to ensure that the company’s focus remains tightly aligned with its core priorities.
Meta’s restructuring plans also highlight the growing trend within the tech industry of reducing non-essential roles and functions to ensure that only the most effective, results-driven employees remain. The company is clearly aiming for operational efficiency and agility, making sure that its workforce is optimized to meet its ambitious future goals. Meta is preparing to refill some of these roles in 2025, once the workforce realignment is complete, which indicates that this restructuring is not about reducing headcount indefinitely but rather reshaping the company’s structure to be more adaptable.
Zuckerberg’s message also reassured those who would be affected by the layoffs, stating that employees who are let go due to performance issues will receive generous severance packages, in line with the company’s previous rounds of staff reductions. Meta has committed to providing fair compensation to those who are impacted, a gesture aimed at softening the blow for those facing job loss. However, despite these assurances, the reality of the layoffs remains difficult for the affected employees and marks a significant shift in the company’s operations.
These moves are reflective of the ongoing restructuring efforts across the tech industry, where major companies are focusing more on performance and less on broad employee retention, to align with their fast-changing business models and goals. As companies like Meta navigate rapid technological advancements, including the burgeoning fields of artificial intelligence, machine learning, and virtual reality, they must ensure that they have the most capable and agile teams in place to drive these efforts. This realignment is part of the ongoing trend to build leaner, more efficient workforces that are better suited to the demands of the modern tech landscape.
Despite the impact on Meta’s workforce, these layoffs represent a wider strategy to bolster the company’s position in a competitive market. By removing lower-performing employees, Meta seeks to focus its resources on top talent, driving innovation and progress in areas such as AI and VR. The company’s decisions reflect its desire to prioritize growth, talent acquisition, and technological innovation, ensuring that Meta remains at the forefront of the rapidly changing tech ecosystem.
As this restructuring unfolds, it will be crucial for Meta to handle its transition carefully, balancing its drive for performance with the need to maintain employee morale. For those who are left behind, there will likely be a heightened sense of pressure, with a sharper focus on delivering results and meeting the company’s evolving expectations. The industry will be watching closely to see how Meta navigates this challenging process and what implications it may have for its long-term strategy and overall success in the years to come.
