For a while now, tech giants has conducted the laying off of several of its workers, and frozen new hirings in the companies. Currently, Mark Zuckerberg, the chief executive of Meta stated that they are planning the steady reduction of growth of headcount in the coming one year.
The Facebook founder agreed how the company is facing an economic decline that could greatly affect its businesses for digital advertisement. For this, he specified how several teams would see a shrinkage for Meta to move ‘energy’ to different sectors in the network. It went on to report its second quarter revenue on Wednesday, July 27.
In the call, Zuckerberg gave a statement to analysts present regarding his intentions with these new changes. He stated how he wants to provide the leaders with the power to determine the area they need to ‘double down’ in the teams. Additionally, decide what needs restructuring and backfilling of attrition as they counter ‘thrash’ to the ambitions that are for the longer term.
In the quarter that ended last month, the social media company noted the fall of 1% in its revenue, which came to $28.8 billion. Its shares saw a dip of 3.8% in extended trading, with its profit witnessing a total drop of 36%, coming to 6.7 billion.
Further statement from the Meta CEO:
Zuckerberg went on to point out how Meta Platforms employed a huge number of candidate in early 2022. Clearly, this indicates that the year-over-year headcount growth that it specified would continue to be concrete for the coming quarters from now. However, this growth should go on to reduce as time would go by. He went on to establish this particular juncture calls for added ‘intensity,’ and how he sees the company to achieve additional progress with a lesser number of means.
The Meta chief stated how the company is concentrating on building durable investment in the current atmosphere which place the company to be stable as it faces the recession. Zuckerberg noted how this would include the progress in its network’s features, metaverse and a reformed ads provision. However, it is easing the speed of its investment, and delaying certain expenditures that would not have necessarily come just yet.
Currently , the company is about 83,533 workers strong, with an annual increase of 32%. Evidently, various other tech giants have reduced their workforce or the taking on of new employees for the current year.