Meta has made an announcement about laying off more employees after announcing a major layoff in November 2022.
The company wants to proceed with its restructuring plan and has to cut costs, which it is attempting to achieve by laying off extra resources.
Meta to Layoff 10k Employees
As per the latest reports from Meta, they will be laying off a minimum of 10,000 employees. The officials have hinted that the number may rise over the 10,000 expectation.
The company has made a prediction about its restructuring costs. They have revealed that at the minimum, the restructuring costs would be around $3 billion.
The top expectations they have for the restructuring costs are somewhere around $5 billion.
Mark Zuckerberg’s Prediction about Economy
The CEO of Meta, Mark Zuckerberg has recently made speculation about the challenges that the company is going to face in the future.
He claimed that it is not just their company expecting just a downtrend, but the entire country is expecting the same.
He predicted that he is expecting that there would be high instability involving the economy. He predicted that the instability may not linger on for a month or two, or a year.
The economy may continue facing instability for a long time, lasting for multiple years.
After sharing the latest update, the company’s share prices have surged significantly in the latest trading session. They have reportedly moved up by 5.5% in the latest trading session.
Mark Zuckerberg’s Reputation was at Stake
Due to the recent decision and announcement made by Meta, the company shares have surged significantly. The latest stock market data shows that Meta’s shares have surged by 5.5%.
According to the analysts and the stakeholders, the company is seemingly moving in the right direction. The share price pump is a good signal that indicates that the company’s growth is based on the right decision-making.
With Meta’s performance from late 2021 through 2022, many started to question the vision and leadership of Mark Zuckerberg.
There were even talks of Zuckerberg stepping down from his post of Meta’s CEO, given the performance the company had delivered recently.
The CEO Started to Make the Right Decisions
However, Zuckerberg made the right choices that would help point the company in the right direction. He reportedly started to cut down the operational costs of Meta, to save the company from further losses.
He started to move the company in the right direction by announcing the layoff of thousands of employees in November 2022. He announced that more than 11,000 workers would be impacted by the movement.
Zuckerberg took the entire responsibility of laying off the employees on his own shoulders. He confirmed that he would make the right decisions so the company remains and operates in the right direction.
Meta’s Expectations
Having announced the layoff of 10,000 employees, Zuckerberg has revealed what the investors should expect from the company.
He stated that in the upcoming months, a new restructuring plan will be announced by the leaders of the organization.
The restructuring would include getting rid of the projects that are of low priority. Flattening the organization, and lowering the rates of hiring.
Zuckerberg shared these details with all of the employees and made them aware of what they were going to do next.
Even the blog run by Meta has all the details posted on it so the public can view them as needed.
In addition to the above layoffs, the company is also working on the closure of 5,000 vacancies. These roles had not been filled so they have decided not to fill them at all.
It seems that Zuckerberg has now started making decisions keeping in mind the interests of the shareholders. He has expanded his vision and sight to make calculated predictions that help the growth of the company.
As per him, the economy has a huge role to play in the performance of their company. Their company will continue taking a negative impact from the economy that may continue suffering for many years.
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