Twitter’s new chief executive Elon Musk has walked the path of layoffs, Facebook’s parent company Meta-O. On Wednesday, the company’s CEO Mark Zuckerberg announced 11,000 layoffs in a blog post.
In a blog post, Mark Zuckerberg said, “Today I’m going to announce the most difficult change in Meta’s history.” I have decided to reduce our workforce by 13 percent. More than 11,000 of our talented employees have to be let go.
Zuckerberg also said, ‘We are taking additional steps to make the company smaller and more efficient. These include spending cuts and halting recruitment in the first quarter of the year.
The retrenched workers will receive 16 weeks of basic pay and an additional two weeks’ pay for each year of work, it said. Employees will also get six months of health care expenses.
According to the Economic Times, Facebook does not have a record of cost reduction at such a large level before. This is the first time the company has taken such a decision to cut costs since its inception in 2004.
According to market analysts, Zuckerberg’s decision is due to Facebook’s declining advertising revenue, economic slowdown and heavy investment in new technology metaverse.