Meta freezes 6,000 open roles and plans 8,000 layoffs

Meta, the parent company of Facebook and Instagram, is planning to reduce its workforce by 10%, according to a report from Bloomberg. The planned workforce reduction is expected to impact approximately 8,000 employees. Alongside these job cuts, the technology company will not hire for 6,000 roles that are currently open.

The restructuring involves the following figures:

• 10%: The planned workforce reduction.
• 8,000 employees: The number of positions to be cut.
• 6,000 roles: The open positions that will remain unfilled.

According to an internal memo sent to employees on Thursday and viewed by Bloomberg, Meta told staff that the cuts will begin on May 20. Reuters had earlier reported on Meta’s plans for sweeping layoffs. TechCrunch has reached out to Meta for comment regarding the planned reductions.

In the memo, Meta’s Chief People Officer, Janelle Gale, provided a statement explaining the decision. “We’re doing this as part of our continued effort to run the company more efficiently and to allow us to offset the other investments we’re making,” Gale told employees. She added that “this is not an easy tradeoff and it will mean letting go of people who have made meaningful contributions to Meta during their time here.”

The workforce reduction comes as Meta shifts its strategic focus. The company spent tens of billions on its metaverse efforts, which largely failed. To keep pace with competitors, Meta has had to make major investments in its artificial intelligence initiatives. Earlier this month, the company debuted Muse Spark, its AI product, signaling a reallocation of resources toward machine learning and AI development.

Why it matters

Meta is cutting 10% of its workforce and freezing hiring for 6,000 roles as it attempts to run the company more efficiently and offset investments in other areas like AI.