The CEO of Goal, Mark Zuckerberg, announced to his employees this morning the dismissal of approximately 10 thousand people and closing around 5 thousand additional vacancies that have not yet been filled.
“This will be tough, and there’s no way around it. It will mean saying goodbye to talented and passionate colleagues who have been a part of our success. They have been dedicated to our mission, and I am personally grateful for all of their efforts. We will support people the same way we have before, and treat everyone with the gratitude they deserve,” Zuckerberg said.
The businessman explained that the American technology and social media conglomerate based in Menlo Park, California, said that in the next two months, the heads of the organizations will announce restructuring plans focused on reducing the size of their organizations, canceling lower-priority projects and slowing the pace of hiring.
"With fewer hires, I have made the difficult decision to further reduce the size of our hiring team. We will communicate with members of the hiring team tomorrow if they are affected," he said.
He also said that restructuring and layoffs will be announced in the technology groups at the end of April and then in the business groups at the end of May, while in a small number of cases it is possible that the changes will last until the end of the year.
Following the restructuring, he explained that the freeze on hiring and transfers in each group is expected to be lifted, while at the end of this summer the analysis of the learning year on hybrid work will be ready, which will allow the distributed work model to be perfected.
In this regard, he explained that they also plan to introduce a constant flow of improvements in developer productivity and processes throughout the year.
“When I talked about efficiency this year, I said that part of our work will be to eliminate jobs, which will serve both to build a more agile and technical company, as well as to improve our business performance and realize our long-term vision,” he added.
Zuckerberg stressed that the goals of this work are: to become a better technology company and improve financial performance in a difficult environment in order to execute the long-term vision.
“I’ve tried to be open about all the work that’s underway, and while I know many of you are energized by this, I also recognize that the thought of upcoming changes creates uncertainty and stress. My hope is to make these organic changes as early in the year as possible so that we can get through this period of uncertainty and focus on the critical work ahead,” he said.
As part of the Year of Effectiveness, he said efforts are being focused on returning to a more optimal ratio between engineers and other functions, as well as investing in artificial intelligence tools.
The businessman recalled that the global economy changed, competitive pressures increased and Meta's growth slowed considerably, which led them to reduce budgets, real estate presence and lay off 13 percent of their staff.
In this regard, he explained that we must be prepared for the possibility that this new economic reality will continue for many years.
“Higher interest rates cause the economy to perform worse, greater geopolitical instability creates more volatility, and increased regulation leads to slower growth and higher innovation costs. Against this backdrop, we will need to operate more efficiently than we did with our previous workforce reduction to ensure success.”
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