Editor’s Note: This story has been updated to include a comment from a Meta spokesperson.
Meta Platforms Inc. (NASDAQ:META) has confirmed layoffs across multiple teams, including Instagram, WhatsApp, and Reality Labs.
What Happened: Meta has confirmed that several teams within the company were impacted by layoffs on Wednesday, reported TechCrunch.
The company stated that these changes were part of a strategic reallocation of resources to align with their long-term goals.
Among those affected was Jane Manchun Wong, a software engineer who joined the Threads team in 2023.
Other former Meta employees also announced their layoffs on social media, including those who previously worked on Facebook, recruiting, legal operations, and design.
Threads, recruiting, and legal operations were not impacted by the reorganization, but the company has not disclosed the exact number of employees affected and their respective departments, according to the report.
A Meta spokesperson told Benzinga, “Today, a few teams at Meta are making changes to ensure resources are aligned with their long-term strategic goals and location strategy.”
“This includes moving some teams to different locations, and moving some employees to different roles. In situations like this when a role is eliminated, we work hard to find other opportunities for impacted employees,” said the spokesperson.
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Why It Matters: This is not the first time Meta has made significant layoffs. In 2022, the company laid off roughly 13% of its workforce, and last year, another 10,000 employees were let go, with 5,000 open roles withdrawn.
These layoffs are part of Meta’s ongoing “Year of Efficiency,” which was initially a temporary measure but has now become a permanent part of the company’s operations.
Meta CEO Mark Zuckerberg has been focusing on more efficient operational models, leading to significant changes within the company.
“It was really tough, we parted with a lot of talented people we cared about,” Zuckerberg said about Meta’s past layoffs in February. “But in some ways actually becoming leaner kind of makes the company more effective.”
These latest round of layoffs come at a time when Meta is facing lawsuits filed by U.S. states over allegations of contributing to mental health issues among teenagers by making its platforms addictive.
Price Action: Meta’s stock closed 1.62% lower on Wednesday at $576.79, but gained 0.81% in premarket trading on Thursday, according to Benzinga Pro data.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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