Newsdesk – Metaverse , the parent company of Facebook is said to have cut down as many as 11, 000 workforce from all over the globe. The layoffs have apparently due to dipping revenues and cutting cost strategy of the company.
According to news reports, Mark Zuckerburg, founder and CEO of Meta wrote a letter to its employees and informed about the layoff decision. Zukerburg said the company would focus more on its advertising business and elevating content from viral creators over family and friends , this would be the same strategy that has made the short form video app tik-tok so famous, he said.
The company has also stopped fresh hirings at the moment probably till first quater of 2023. Analysts say, with this 11000 slash of employees, it makes 13 percent of the total global workforce of the company.
As per record of the company, it had around 87,000 employees by September. Zukerburg , in the letter written to employees on mail, he admitted, the decision of layoff was difficult to make.
As per company policy, the employees come under layoff move will get severance package of 14 weeks that makes 4 months basic pay. The company will also pay for remaining paid time off.
Investors who invested in Meta are worried about the revenue slump of the company and they are apprehensive for making further investments. Company’s costs raised 19 percent and operating income dropped by 46 percent.
It is mentionable, Twitter’s owner Elon Musk has fired a large number of employees a few days ago and its Meta to take same kind of decision. Meta is a parent company of social platforms Facebook , Instagram and widely used messaging app Whatsapp. Facebook has been adding employees since Zukerburg has begin Silicon valley business in 2014.
The layoffs at Meta are happening as the company is making a big gamble on growing metaverse in market but it is not really getting the required response.
