Tech layoffs appear to not yet be over, with the Washington Post reporting this morning that Meta Platforms (NASDAQ: META) intends to conduct further layoffs, despite Chief Executive Mark Zuckerberg previously stating that they were done.
The latest round is expected to push leaders into lower-level roles that will see them have no direct reports, thereby flattening the management layers between the C-suite and regular employees. The company is said to be utilizing human resources, lawyers, and financial experts to find means of reducing the hierarchy.
In addition to the reduction in management, the layoffs may also include traditional cuts that would see projects and jobs cut from the organization.
The downsizing is expected to impact “thousands of workers,” according to someone familiar with the matter, with the cuts expected to occur over a number of months and some expected to come from employees quitting.
The cuts follow the company laying off 11,000 employees since November, equating to roughly 13% of its workforce. At the same time, the company boosted its capital allocation for share buybacks, bringing the total figure earmarked for investor returns to over $50 billion.
The development also follows the news over the weekend that the company will be taking a page out of Twitter’s playbook by offered “Meta Verified” to its users as a means of increasing revenue streams.
Zuckerberg via a post on his personal page announced the new service, indicating that a subscription would enable a blue badge to indicate one has subscribed to the service while proving impersonation protections and direct access to customer support.
The service is expected to start at $11.99 a month for web subscribers, with the roll out beginning this week in Australia and New Zealand.
Information for this story was found via Edgar and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
