Meta’s day of reckoning: Thousands to be cut in AI-led reorganization
About 20% of workforce impacted as company shifts toward agent-based workflows.
Meta laid out the most detailed picture yet of its sweeping restructuring plans in a memo to employees on Monday, confirming that thousands of jobs will be cut this week as the company pushes deeper into an artificial intelligence overhaul that is reshaping both its products and internal structure.
The Facebook owner plans to lay off 10% of its workforce on Wednesday, alongside broader organizational changes that will shift thousands of employees into new AI-focused units and eliminate layers of management, according to the internal memo seen by Reuters. Additional reductions are expected later this year, underscoring the scale of a restructuring that will ultimately affect about 20% of the company’s workforce.
The memo, written by Meta’s chief people officer Janelle Gale, said roughly 7,000 employees would be moved into AI-related initiatives, while many managerial roles would be removed as part of a shift toward flatter, faster-moving teams built around small “pods” or cohorts.
“As org leaders worked on the changes, many of them incorporated AI native design principles into their new org structures,” Gale wrote. “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.”
Meta declined to comment on the plan when contacted by Reuters.
At the core of the overhaul is Meta’s effort to center artificial intelligence agents in both its product roadmap and its internal operations. The company is reorganizing teams around systems designed to automate tasks that were previously carried out by human employees, reflecting a broader shift across Silicon Valley toward AI-driven workflows.
The internal changes include transfers into newly created units such as Applied AI Engineering (AAI) and Agent Transformation Accelerator (ATA) XFN, both of which were previously announced by CTO Andrew Bosworth as part of Meta’s “AI for Work” initiative. These groups are intended to develop AI agents capable of performing workplace tasks autonomously.
Another destination for reassigned staff is Central Analytics, which is expected to focus on measuring productivity and supporting the development of AI agents. A further unit, Enterprise Solutions, was mentioned in the memo but details have not yet been shared.
In addition to the transfers, Meta has already closed 6,000 open roles as part of the restructuring, Gale said in an earlier communication.
Meta’s total headcount stood at 77,986 employees at the end of March, according to company filings.
Inside the company, the restructuring has triggered a growing wave of anxiety and frustration. While the memo confirmed the scope of the changes, many employees remain unsure how the cuts and transfers will be implemented in practice.
In some cases, employees have already been moved into new AI-focused teams; in others, they are still waiting for formal notification expected on Wednesday. Workers in North America have been instructed to work from home that day, heightening the sense of isolation around what is expected to be a swift layoff process.
Employees are expected to receive notification emails at around 7 a.m., after which their access to company systems, including email, internal platforms and work devices, will be immediately revoked.
The uncertainty has been particularly acute in Israel, where employees are still in the dark about how the restructuring will affect local teams, according to the information provided. It remains unclear whether Israeli staff will be included in Wednesday’s cuts or how they may be impacted by the broader organizational changes.
Reuters contributed to this report.
