Meta has begun reducing staff and reorganizing teams in an effort to cut costs, according to a new report in the Wall Street Journal.
The newspaper report said it was clear the company did not want to frame the changes as layoffs, but was said to be “quietly paying a large number of employees” as it prepares for more significant cuts.
Meta allows employees to apply for new jobs within the company, but workers only have a 30-day window to do so. The result, according to the magazine, is that “workers with a good reputation and strong performance reviews are being fired on a regular basis.”
Meta has indicated for some time that it will cut staff and shrink projects as it deals with shrinking revenue amid what Mark Zuckerberg has called an “economic recession.” The CEO warned during the company’s latest earnings call that Meta will slow hiring and will need to “do more with less.”
Zuckerberg recently told employees that the company was having a “tough time” and asked managers to identify “low performers” for the cut. The company has also canceled some projects from its Reality Labs division, which lost $10 billion in 2021, Engadget reported, and dozens of Meta contractors hired by an outside company were recently told that their jobs had been cancelled.