Facebook is cutting costs and laying off office workers. Company officials are encouraging employees who are doing worse to report.
Mark Zuckerberg’s company is cutting office maintenance costs and implementing a cost-saving plan. Included in the cuts are kitchen cleaners, night duty, recycling sorters and cafeteria staff, as well as 10 supervisors and seven managers.
As of July 25, Meta is severing its relationship with ABM, the company it paid to maintain its offices. According to ABM, the consequence of this decision is the dismissal of 368 people who have been in charge of Facebook’s offices until now. According to ABM’s announcement, it is unclear whether Meta will decide to retain some of the staff.
According to CNBC, Facebook is planning to sign another contract with the company to employ office support, but it is not clear at this point how many people it will include.
ABM is a U.S.-listed company that employs more than 100,000 people. It operates the offices of major tech giants, such as Google, and Adobe.
Profits are falling
Since the outbreak of the coronavirus pandemic, Facebook’s offices have remained largely empty. The company had planned to return to desktop operations, but some employees took advantage of the opportunities on offer and permanently switched to remote work. As a result, there are fewer people at their desks than before the pandemic, so office space and expenses can be reduced.
But there is another reason for the cuts. Since the surge in inflation and the outbreak of war in Ukraine, Facebook’s advertising business has slowed considerably. Apple’s iOS changes, which are designed to give users more privacy, are also having an impact.
Employees are expected to report
Facebook is slowing down the pace of hiring new employees due to falling profits. CEO Mark Zuckerberg told employees last week that the company has cut plans to hire engineers by at least 30 percent this year.
There were also reports on Monday that Facebook executives are encouraging employees to identify and report colleagues who are doing less well and “letting the company down.”
