Target will dismiss 10,000 employees in 2nd round of cuts – 03/14/2023 – Market

Meta Platforms said on Tuesday (14) that it will cut 10,000 jobs, just four months after laying off 11,000 employees, becoming the first major technology company to announce a second round of mass layoffs.

“We expect to reduce the size of our team by about 10,000 people and close about 5,000 additional open roles that we have not yet hired,” CEO Mark Zuckerberg said in a message to the team.

The layoffs are part of a broader restructuring of the company, which will see the company flatten its organizational structure, cancel lower priority projects and reduce its hiring rates as part of the change. The news sent Meta shares up 2% in premarket trade.

The measure underscores Zuckerberg’s effort to make 2023 the “Year of Efficiency,” with cost cuts promised from $5 billion (R$26.1 billion) in spending to somewhere between $89 billion (R$466.3 billion) and US$ 95 billion (R$ 497.7 billion).

The tech industry has laid off more than 280,000 workers since the start of 2022, with about 40% of them arriving this year, according to layoffs.fyi job tracking website.

Meta, which is pouring billions of dollars into building the futuristic metaverse, has been struggling with a post-pandemic slump in advertising spending for companies facing high inflation and rising interest rates.

The Target’s change in November to reduce headcount by 13% marked the first mass layoffs in its 18-year history. Its headcount was 86,482 at the end of 2022, up 20% from the previous year.