Meta is reportedly planning significant layoffs affecting 20% or more of its workforce, as stated by Reuters. These potential layoffs aim to balance Meta’s substantial expenditure on AI infrastructure and related acquisitions. As of December 31, Meta had nearly 79,000 employees, per a recent filing.
“This is speculative reporting about theoretical approaches,” a Meta spokesperson commented.
This report surfaces as several tech companies, like Block, have executed extensive layoffs, claiming AI’s role in workplace automation as the reason. However, figures like OpenAI’s Sam Altman argue that these cuts are often “AI-washing,” where AI is cited as an excuse for other challenges, including pandemic-era over-hiring.
Previously, in November 2022, Meta announced layoffs of a similar magnitude, cutting 11,000 jobs, followed by 10,000 more in March 2023.