Report says Meta might begin large-scale layoffs this week
This would be the first time the company has undergone a major headcount reduction, and it is estimated that 87,000 employees would be affected. A company spokesperson declined to comment when asked about the matter, and instead referred CNBC to remarks made by the company's CEO on a recent earnings call.
- Economy
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- Published Date: 12:59 | 07 November 2022
- Modified Date: 01:04 | 07 November 2022
Meta, Facebook's parent company, is considering large-scale layoffs that could begin as soon as Wednesday, according to a report from the Wall Street Journal.
This would be the first time the company has undergone a major headcount reduction, and it is estimated that 87,000 employees would be affected.
A company spokesperson declined to comment when asked about the matter, and instead referred CNBC to remarks made by the company's CEO on a recent earnings call.
"In 2023, we're going to focus our investments on a small number of high-priority growth areas," Zuckerberg had said at that time.
"That means some teams will grow meaningfully, but most other teams will stay flat or shrink over the next year. In aggregate, we expect to end 2023 as either roughly the same size, or even a slightly smaller organization than we are today."
This year has been tough for social media giant Meta, as their shares have fallen a whopping 73%. This puts their stock at its lowest since early 2016, and makes them the worst performer in the S&P 500 for the year.