IMAGE: REUTERS

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Meta plans to conduct an initial round of widespread layoffs on May 20, cutting about 10% of its global workforce, or close to 8,000 employees, according to a report by Reuters, which cites three sources familiar with Meta’s plans. Further job reductions are expected in the second half of the year, the sources said, though details, including dates and scope, have not been finalised. Executives may adjust those plans as they monitor developments in artificial intelligence capabilities, the sources added.

Reuters reported last month that the Facebook and Instagram owner was planning to cut 20% or more of its global workforce. Meta CEO Mark Zuckerberg is directing hundreds of billions of dollars into AI as he works to restructure the company around the technology. Meta’s current layoffs will be its most significant since the restructuring of late 2022 and early 2023, which the company called the “year of efficiency” and which eliminated approximately 21,000 positions.

The company is in a stronger financial position now, generating more than $200 billion in revenue last year and a $60 billion profit despite heavy AI spending. As of December 31, Meta employed nearly 79,000 people globally.