Earlier this month, in the company’s fourth quarter earnings release, Meta CEO Mark Zuckerberg called 2023 the “year of efficiency” and said management was focused on making to become a stronger and more agile organization.
Facebook parent company Meta gave poor performance reviews to thousands of employees. This again raised fears of another round of layoffs at Meta.
The Wall Street Journal reported that in recent performance reviews, Meta called more than 7,000 employees “below average.” According to the article, the parent company of Facebook and Instagram also got rid of a bonus metric.
Low performance ratings may cause more employees to leave the organization, a source told the WSJ. These negative ratings may be terrible news for Meta employees who fear the company is planning another round of layoffs. At the end of last year, Meta laid off 11,000 people, or 13% of its staff.
“We’ve always had a goal-based, high-performance culture, and our appraisal process aims to encourage long-term thinking and high-quality work, while helping employees gain actionable feedback.” a Meta spokesperson told the WSJ.
Earlier this month, in the company’s fourth quarter earnings release, Meta CEO Mark Zuckerberg called 2023 the “year of efficiency” and said management was focused on making to become a stronger and more agile organization.
Zuckerberg described the focus on efficiency as part of the company’s natural evolution, calling it a “phase shift” for an organization that once lived by the motto “move fast and break things.”
“We grew so quickly for the first 18 years,” Zuckerberg said on a conference call. “It’s very difficult to really increase efficiency when you’re growing so quickly. I just think we’re in a different environment now.”
Hinting at more job cuts, Zuckerberg said in the earnings announcement “We may incur additional restructuring costs as we progress with our efficiency efforts.”
Later in the earnings call, he added that Meta Platforms will remove some layers of middle management as part of a company-wide effort to reduce costs and increase “efficiency.”
In November 2022, Meta said it was cutting over 11,000 positions, or 13% of its staff. Zuckerberg took responsibility for the decision and said the company had overhired during the COVID-19 pandemic amid forecasts of a continued rise in e-commerce. “I was wrong and I take responsibility for it,” he said.
The company in its earnings report noted that it spent more than $3.7 billion on restructuring efforts in 2022. This included severance packages for employees, as well as the early termination of some of its leases. of offices and the consolidation of its offices.