Meta's Layoffs: 10% Cut, 25,000 Gone in Four Years

Next week, Meta will lay off approximately 10% of its workforce—nearly 8,000 employees. This adds to the roughly 25,000 cuts Meta has announced over the past four years. The layoffs are part of CEO Mark Zuckerberg's plan to "run the company more efficiently" and "offset the other investments" in AI, according to a human resources leader. But the layoffs are only one factor in what employees describe as historically low morale.

Pay Cuts and Stock Reductions

Compensation has been shrinking. For the second consecutive year, Meta cut the portion of annual raises paid in company shares—5% this year on top of last year's 10% reduction. Median total compensation fell to $388,200 in 2025 from $417,400 in 2024, according to public filings. Meta's spokesperson Tracy Clayton says salaries are still trending higher than 2022, but employees feel the pinch. Stock performance hasn't helped: Meta shares dropped about 5% this year as the company shifts from VR to AI.

Mandatory AI Tracking Software

Meta introduced mandatory software called Model Capability Initiative (MCI) onto corporate laptops. It tracks US employees' typing and clicking to gather data for training AI models that automate tasks like web browsing or file management. Opting out is not possible, according to three employees. Some claim they've found workarounds to delay installation. The tool hasn't been deployed outside the US due to stricter privacy rules.

Employees protested internally, referencing Meta's history of user data breaches. Chief Technology Officer Andrew Bosworth "belittled and berated" dissenters, according to two employees. A protest group posted flyers in US offices urging colleagues to sign a petition to end the tracking, citing "serious concerns around privacy, consent, and trust in the workplace."

Forced Transfers and AI Panic

Meta began forcibly moving at least 1,000 top engineers to a new Applied AI Engineering division. Anyone refusing faced layoff—an unusual threat in Silicon Valley. Some employees call it "the draft." Zuckerberg said during an earnings call that AI is changing the pace of work: projects that took months and dozens of workers now need one or two people and a week. He's building "the next evolution of our company around these people."

Employees feel pressure to automate tasks like email or reports. Vice presidents are judged partly on driving automation in their units, according to someone who spoke with an executive. Meta's Clayton denies performance philosophies have changed, saying people are evaluated on impact and asked "to embrace AI for themselves and their organizations to enhance productivity."

Unionization Efforts

In the UK, some workers are registering signatures to form a labor union with United Tech & Allied Workers. Organizers wrote: "Our leadership are escalating their cruel and short-sighted behaviours. We need to create an incentive for them to treat us with basic humanity." This follows UK Google DeepMind employees voting to unionize earlier this month over concerns about selling AI to the US military.

Contrasting Fortunes: AI Researchers vs. Everyone Else

While most employees face cuts and tracking, top AI researchers are thriving. Zuckerberg offered several top AI researchers as much as $100 million a year, according to a former executive. The company's total expenses rose 35% year-over-year to $33.4 billion in Q1 2025, driven by AI compute and talent. Zuckerberg upped the capital expenditure forecast by $10 billion to between $125 billion and $145 billion this year.

Courtroom Losses Add to Gloom

In March, separate state court verdicts in California and New Mexico held Meta liable for product and policy failures that harmed users. The company was ordered to pay nearly $380 million in damages and civil penalties (Meta is appealing). For some employees, the trials were an uncomfortable reminder of Meta's societal harm.

The Vibe: "Everyone is Unhappy"

An Instagram employee summed it up: "Everyone is unhappy; the only people who are not unhappy are, literally, executives." A policy staffer said: "The vibe is a bit 'over it'—lack of connection to the mission, upcoming layoffs, American employees being used to train the AI models that will replace them." Many who can afford to leave hope to be laid off for the 16-week minimum severance and 18 months of paid health care.

What This Means for Developers

If you work at Meta or a similar big tech company, expect more AI-driven restructuring and tracking. The social contract is shifting: companies are investing heavily in AI while cutting headcount and monitoring employees. For developers outside Meta, consider how your employer balances AI investment with worker rights. The unionization efforts in the UK may signal a broader trend.

Next Steps

If you're a Meta employee, review your options: the layoffs happen next week. If you're a developer elsewhere, evaluate your company's AI strategy and whether it aligns with your values. Consider joining or forming a worker organization if you're concerned about privacy and job security.