Meta has initiated one of its most significant workforce reductions to date, beginning to notify approximately 10% of its global workforce—roughly 8,000 employees—that their positions are being eliminated. The layoffs, which include managerial roles, are being communicated via email in three coordinated waves at 4 a.m. local time on May 20 across different regions, according to an internal memo from Meta's HR Chief, Janelle Gale.
Severance Packages: What Impacted Employees Receive
U.S.-based employees receiving layoff notices will be offered a severance package that includes:
- **16 weeks (four months) of base pay**, plus an additional two weeks of pay for every year of continuous service
- **18 months of healthcare coverage** for employees and their families—a significant increase from the previous six-month offering
Employees outside the United States will receive comparable packages tailored to local employment laws and standards.
For context, other major tech companies have offered varying severance terms in recent layoffs:
- **Block**: 20 weeks of salary, plus one additional week per year of tenure, and six months of healthcare coverage
- **Amazon**: Three months of full pay and benefits, supplemented by additional severance support
Restructuring for Speed and AI Focus
Beyond headcount reductions, Meta is actively reshaping its organizational structure. In her memo, Gale emphasized a strategic shift toward flatter management hierarchies:
> "We're now at the stage where many orgs can operate with a flatter structure with smaller teams of pods/cohorts that can move faster and with more ownership."
Concurrently, Meta plans to reassign more than 7,000 employees to new artificial intelligence initiatives. This reallocation underscores the company's aggressive investment in AI: Meta has projected 2026 capital expenditures between $125 billion and $145 billion, much of it directed toward advancing its AI infrastructure and products.
Employee Morale and Uncertainty
Since Meta first signaled upcoming layoffs in an April 23 internal memo, employees have operated in a state of uncertainty. Gale acknowledged at a recent internal meeting that morale had suffered, stating the company was working to make a "shitty situation the best version possible"—including tripling COBRA healthcare coverage as a tangible support measure.
Leaders across Meta are expected to announce further organizational changes alongside the layoffs. Notably, company executives have not ruled out additional workforce reductions beyond this current round.
Looking Ahead
As Meta streamlines operations and doubles down on AI development, the human impact of these decisions remains significant. For thousands of employees, today marks a pivotal and difficult transition. For the company, it represents a calculated step toward a more agile, AI-centric future.