Meta will lay off 10,000 employees

Meta, the parent company of Facebook, Instagram and WhatsApp, will lay off 10,000 employees. This retrenchment will start in the month of May. According to media reports, the top officials of the company have informed the management about the announcement of job cuts. This is the second round of layoffs in Meta.
Meta fired 11,000 employees in the first round, which was 13% of the entire workforce. For the first time in the company's 18-year history, such a large number of employees were retrenched. The announcement to remove the employees was made by the company's CEO Mark Zuckerberg. He attributed this to the decline in revenue due to wrong decisions.
Zuckerberg hinted at layoffs last month. He had said that after firing 10,000 people, 5,000 posts would be kept vacant in the company. Zuckerberg also said that 'rising interest rates in the US and increased volatility in the world are responsible for the decline in the company's earnings.
During the first round of layoffs, Mark had said, 'At the start of Covid, the world rapidly went online and revenue increased due to the rise of e-commerce. Many predicted that this increase would be permanent, and would continue even after the end of the pandemic. I thought the same, so I decided to increase my investment. Unfortunately, it didn't live up to my expectation.
Not only has online commerce returned to earlier trends, but the macroeconomic downturn, competition, and less advertising have resulted in revenue being lower than I expected. I made this mistake and I take responsibility for it. In this new environment, we need to become more capital efficient. We have shifted resources to high-priority growth areas.
AI discovery engine, advertising and business platform and our long-term vision for the metaverse. We have cut the cost of business, including reducing the budget, reducing perks and reducing the real estate footprint. We are restructuring teams to increase our efficiency. But these measures alone will not bring our expenses in line with our revenue growth, so I have also taken the difficult decision of letting people go.
Meta had 87,314 employees by the end of September 2022. Meta currently owns some of the largest social media platforms in the world including WhatsApp, Instagram and Facebook. However, the company is increasing its spending on the metaverse. The Metaverse is a virtual world where users can create their own avatars.
Not only Meta, but many big companies of the world have also done layoffs on a large scale this year. Amazon has fired 27 thousand of employees so far in 2023. Meta has evacuated 11,000 people so far this year and will evacuate 10,000 in May. Apart from these, Alphabet has fired 12 thousand and Microsoft 10 thousand.