According to the report, Facebook’s parent company, Meta, is trying to cut costs as its share price plummets, and some employees have introduced a “30-day list” that requires the company to find new jobs or leave the company.
A frightening ultimatum has been issued for some employees as CEO Mark Zuckerberg and other executives are known to be looking for ways to cut costs by more than 10%. As Meta reshuffles some departments, employees on a “30-day list” who cannot start new gigs are “subject to firing,” The Wall Street Journal reported.
Meta has previously applied the practice to underperforming employees, but sources told the Wall Street Journal that current cost-cutting initiatives are forcing high-performing employees out.
Post reached out to Meta to comment on the policy.
Meta spokeswoman Tracy Clayton declined a request for comment from the journal on how many employees were on the “30-day list” or were fired from the company. Clayton said the policy actually helps Meta retain the talented staff it will lose during restructuring.
“We’ve been open to the need for our team to make a transition to address these challenges,” Clayton told the newspaper.
Clayton also commented on Zuckerberg’s comments in July after Meta reported its first-ever quarterly revenue decline. The company’s user base has stagnated in recent months during intense competition from rivals like TikTok.
At the time, Zuckerberg acknowledged that the meta “planned to steadily reduce headcount growth over the next year” and that “many teams will be shrinking.”
“It’s a demanding time for more intensity and we look forward to doing more with fewer resources,” Zuckerberg said. “We are currently in the process of raising our goals for many of our efforts.”
Meta has yet to join other prominent tech companies that are officially implementing layoffs, but sources told the Journal that the cuts to date could be “a prelude to serious cuts.”
Zuckerberg’s personal net worth plummeted to an astonishing $71 billion this year as the company underwent a cumbersome transition to the metaverse. Meta also faces major scrutiny in Congress and a widespread downturn in the tech sector.
Back in June, Meta’s boss warned employees that the company had “turned on the lights” and told them straight-forward that they “shouldn’t be here”.
Another Meta executive told managers to “exit” employees who “failed” to keep pace with the company’s improved performance goals.
On Thursday, the meta stock recently traded at $141.19, down 0.7%.