Meta eyes cuts of up to 20 percent as AI drive reshapes workforce

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The proposed reductions come as the company accelerates investment in artificial intelligence, with leadership signalling a change in how work is structured and delivered across the business.

Earlier this year, chief executive Mark Zuckerberg said advances in AI were leading the company to streamline operations by reducing layers of management and focusing more on individual contributors.

AI strategy prompts restructuring

The latest discussions suggest that Meta, the US technology company that owns Facebook, Instagram and WhatsApp, is continuing to reshape its workforce in line with its growing focus on AI-led products and services.

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Zuckerberg said in January that the company was “elevating individual contributors and flattening teams”, pointing to a move away from traditional organisational hierarchies.

Such changes are expected to reduce the need for certain roles while increasing demand for highly specialised technical skills, particularly in AI development and data-driven functions.

The potential scale of the cuts reflects a broader trend across the technology sector, where companies that expanded rapidly during the pandemic are now reassessing workforce size and structure.

HR leaders urged to plan ahead of disruption

Thea Fineren, chief people officer at Advania, a technology services company, said organisations must take a more proactive approach to workforce planning as automation reshapes roles.

“Even the world’s most advanced companies are not immune to the accelerating impact of automation and overhiring in the AI era,” she told HRreview. “The pandemic prompted many organisations to scale up rapidly. Now they must confront the realities of that growth amid the rapidly advancing AI landscape.”

Fineren said HR leaders needed to anticipate which roles were most at risk and act before change was forced upon them.

“For HR leaders, the main takeaway is: anticipate transformation before it forces your hand. Map out which roles are most exposed by automation, invest in retraining for digital and analytical skills and enable pathways for career mobility/redirection. Workforce planning has to be continuous and predictive, reactivity just doesn’t fly anymore,” she said.

She said a human-centred approach to change would be critical as organisations navigate difficult decisions.

“At the core of HR thinking, a human-centric approach to business change is called on more than ever. We need to lead with empathy and integrity even when executing on those tougher business decisions. As AI becomes more embedded in decision-making and transactional work, the human element can thrive in higher value activities.

Open dialogue, clear communication and a commitment to enabling upskilling were what would ensure leaders continuously built the skills their business and clients needed and create a sustainable and enduring business, she said.

Fineren said the focus should remain on enabling people to contribute in new ways rather than framing change as a conflict between technology and workers. “It’s not humans vs machines. It’s about giving the humans the best chance to add more value and do what they do best,” she said.

Wider change across tech sector

Meta’s reported plans reflect a wider recalibration across the technology industry, where companies are balancing continued investment in AI with efforts to control costs and improve efficiency.

The move towards flatter structures and fewer management layers is likely to have implications for career progression, organisational design and long-term workforce planning.

As AI becomes more embedded in business operations, experts say HR leaders face increasing pressure to manage transitions in a way that supports both organisational performance and employee wellbeing.

William Furney is a Managing Editor at Black and White Trading Ltd based in Kingston upon Hull, UK. He is a prolific author and contributor at Workplace Wellbeing Professional, with over 127 published posts covering HR, employee engagement, and workplace wellbeing topics. His writing focuses on contemporary employment issues including pension schemes, employee health, financial struggles affecting workers, and broader workplace trends.

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