Mark Zuckerberg announced 10,000 new layoffs in Meta: “There’s no way around it”

the technological one Objective -owner of Facebook, Instagram and Whatsapp– announced this Tuesday that it will cut another 10,000 jobs in the coming months and abandon plans to fill some 5,000 vacancies it had opened.

The new layoffs come after the last November Meta has announced the departure of around 11,000 workers, around 13% of its workforce, with the aim of reduce costs.

“It will be difficult and there is no way around it”the company’s top executive, Mark Zuckerberg, said on Tuesday, announcing the decision, which he justified with a attempt to make the company more efficient.

Zuckerberg, in a note, explained that over the next two months the top management of the various Meta companies will announce restructuring plans in which they low priority projects will be cancelled AND will reduce hiring.

In light of these plans, the company has made its decision cut your HR team and will begin reporting to affected employees tomorrow.

The restructurings and layoffs in the technology area will be announced in late April and in the corporate part in late May, although in some cases departures can be extended until the end of the yearZuckerberg explained.

“In total, we plan to reduce the size of our team by around 10,000 people and close an additional 5,000 open positions for which we have not hired yet,” he stressed.

With these two waves of layoffs, Meta will have reduced its workforce by 24%a 180-degree turn in its policy as the group had never embarked on a layoff plan in its nearly 20-year existence.

Meta suffers from the technological crisis

The US social media giant announced in November the first major round of layoffs in its history after greatly increasing its size during the pandemic, a move that many other companies in the technology sector have followed.

Meta saw its profits plummet by 41% in the year 2022, up to $23.2 billion, with a small decrease in its billing and a significant increase in costs.

Like other technology companies, it has been affected by the inflationthe weakness of advertising marketthe rise of competitors and the normalization of the demand for digital leisureextraordinarily increased after the outbreak of the pandemic.

The company based on Menlo ParkCalifornia has invested billions of dollars in a new strategy to focus on metaverse. In February he said a decline in online advertising and competition from other companies such as Tick ​​tock they were weighing their achievements.

Zuckerberg does not escape the metaverse failurein which millions of dollars have been involved so far and which has only given him losses, at least for now. Reality Labs, the department charged with developing it, has increased losses by 34% in 2022, up to 13,717 million. It is the third year that the entrepreneur has been disappointed, because he has remained in the red and has also reduced his annual turnover by 5%, which has risen to 2,159 million.

The co-founder of Facebook and visible head of the social network had warned in February that 2023 must be “the year of efficiency” for Goal.