Meta CEO Mark Zuckerberg’s “year of efficiency” appears to be rocky, according to staffers at Facebook’s parent company, who claim that teams are “demoralised” due to cost-cutting and job-cutting initiatives.
According to the news outlet Financial Times, managers at Meta have been more frustrated with the uncertainty that has crept into the company’s Menlo Park, California, headquarters in recent weeks as upper management has put off approving essential budgets, upsetting the usual workflow.
One Meta employee told Financial Times over the weekend, “Honestly, it’s still a shambles.” “A lot of individuals are getting paid to do nothing to start the year of efficiency.”
The firm will become smaller corporation with a decreased personnel list
Investors on Wall Street applauded Zuckerberg’s recent announcement that Meta would become a smaller corporation with a decreased personnel last week. Still, the FT stated widespread uncertainty and discontent within his organisation.’
Employees at the firm told FT that “zero work” is being completed and that decisions that once took days to approve are now taking weeks or months, even in some of the metaverse and advertising company’s core industries.
Around 13% of Meta’s worldwide workforce of about 87,000 people were let go in November, and more than 11,000 colleagues received pink slips.
The business, which owns digital assets including Facebook, Instagram, and WhatsApp, had been struggling with dwindling income, losses in its nascent metaverse division, and rising competition from social media startup TikTok, which has stolen off Gen Z subscribers.
Meta structures to speed up decision-making and boost efficiency
As the corporation lost billions on its investment in the metaverse, Meta’s shares plunged by more than 70% last year.
In addition, according to Zuckerberg, Google, Amazon, Twitter, Microsoft, Salesforce, Spotify, and other significant behemoths that also had to lay off thousands of workers were hampered by the challenging macroeconomic situation.
On an earnings call last week, the CEO informed the analysts that Meta would implement more cost-cutting measures.
To make decisions more quickly, Zuckerberg added, “we’re focusing on flattening our organisational structure and reducing certain levels in middle management.”
The manager also stated that Meta would be “more aggressive” in letting go of underwhelming initiatives. In addition, Zuckerberg issued a directive to the company’s middle management, telling them to focus on being productive or finding alternative employment. The “flattening” process entails reducing layers from a firm structure to speed up decision-making and boost efficiency.
