The company is also expected to lay off 8,000 employees this week.
Meta is not only laying off thousands of employees on Wednesday due to artificial intelligence, but also moving thousands into new roles within the company. according to reuters And the new York TimesMeta HR head Janelle Gale has informed employees that 7,000 of them will be transferred to four new organizations focused on building new AI tools and apps. Gale reportedly wrote in an internal memo seen by publications that the restructuring “will [the company] Be more productive and make work more rewarding.”
Gale reportedly wrote that the new organizations will use “AI native design structures” and will not have as many layers of management per employee. They told employees to work from home on Wednesday, May 20 and wait for an email from Meta about their potential new roles, although some employees had already been transferred. The company will also send notifications to some of the people who will be laid off that day.
If you’ll recall, Metra told employees in late April that it was cutting 8,000 jobs and would also close 6,000 open jobs. Gale reportedly told him in a memo at the time that it was “part of the plan.” [Meta’s] “continued efforts to run the company more efficiently” and will allow it to recoup its other investments. Although he did not elaborate, Gale was likely talking about Meta’s bet on artificial intelligence. Companies in the tech industry have been actively laying off employees for some time in order to put more of their money into their AI efforts.
Meta is betting big on AI after shutting down its plans for a metaverse that didn’t shake up the world as much as it hoped. It plans to build data centers containing “tens of gigawatts” within this decade. It created a “superintelligence” team of AI experts, with company head Mark Zuckerberg even handpicking potential recruits and inviting them to his home. It is building AI agents and putting AI chatbots in many of its products. many times Zuckerberg told investors the company plans to spend between $115 billion and $135 billion this year, mostly on AI development.
By the end of 2025, META had approximately 78,000 employees. Thus, the layoffs affecting 8,000 employees will eliminate approximately 10 percent of the existing roles within the company. reuters Says Metra will cut even more jobs later this year. Workers affected by the layoffs will receive 16 weeks of severance pay, plus two additional weeks for each year they remain with the company.
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