Facebook owner Meta Platforms announced today, Tuesday, that it intends to lay off 10,000 employees, becoming the first major technology company to announce a second wave of job cuts, as the industry prepares for a strong economic slowdown.
Meta shares jumped 6 percent after the announcement.
Mita’s staffing cuts are part of a broader restructuring that will also see the company cancel plans to hire about 5,000 workers, shed low-priority projects and cut back in mid-level management jobs.
The company’s CEO, Mark Zuckerberg, said in a letter to employees that most of the jobs scheduled to be cut will be announced in April and May, but some jobs will continue until the end of the year.
“For most of our history, we have experienced rapid revenue growth year after year and had the resources to invest in many new products. But the past year was a modest wake-up call.
And he added, “I think we must prepare ourselves for the possibility that this new economic reality will continue for many years.” Fears of an economic recession due to high interest rates led to the dismissal of a large number of workers in various American companies, including large banks and major technology companies.
After the layoffs, Meta expects its expenditures in 2023 to range from $86 billion to $92 billion, compared to a previous forecast of $89 billion to $95 billion. And
In November, the company laid off 11,000 employees, the first mass layoffs in its 18-year history.
The number of the company’s employees reached 86,482 employees at the end of 2022, an increase of 20 percent compared to 2021.