Meta, the social media giant behind platforms like Facebook, Instagram, and WhatsApp, recently terminated around two dozen employees from its Los Angeles office after discovering the misuse of company-provided meal credits. The internal investigation found that employees were spending their meal allowances on non-food items such as laundry detergent, wine glasses, and acne treatment pads, deviating from the intended use of these benefits.
Meta provides meal vouchers to employees at offices that lack in-house food services, offering $20 for breakfast and $25 each for lunch and dinner. These vouchers are designed to help employees access meals during long working hours, which are typical in the tech industry. However, the investigation uncovered that some employees had meals delivered to their homes rather than using the vouchers strictly for work-related purposes.
This development reflects Meta’s efforts to maintain control over operational resources as it navigates significant internal restructuring. Alongside these terminations, Meta has been realigning staff across various teams, including Instagram, WhatsApp, Facebook, and Reality Labs, which oversees virtual reality and metaverse projects. Although the company declined to disclose the total number of recent layoffs, these adjustments are part of a broader effort to streamline operations.
The restructuring comes as Meta continues to emphasize efficiency following a challenging financial period. Last year, the company implemented multiple rounds of layoffs, cutting more than 20,000 employees in an effort to reverse revenue declines and address stagnating user growth. CEO Mark Zuckerberg has framed these cuts as part of Meta’s “year of efficiency,” a campaign aimed at refocusing the company on core goals while trimming unnecessary expenses.
Among the employees impacted by the recent layoffs was Jane Manchun Wong, a well-known tech researcher and security analyst. Wong joined Meta in June 2023 to work on Instagram and Threads after earning recognition for accurately predicting upcoming social media features. Her departure highlights the significant scope of Meta’s restructuring efforts, as even high-profile hires have not been immune to job cuts.
While Meta offers competitive compensation, with median annual pay for employees (excluding CEO Mark Zuckerberg) reported at $379,050, the company continues to optimize staffing levels to align with long-term objectives. The company’s shares (META) have seen nearly an 80% increase since last year, reflecting investor confidence in its efficiency measures despite internal turbulence.
These recent terminations and layoffs represent Meta’s focus on curbing misuse of benefits and ensuring resources are allocated strategically. The restructuring includes relocating some teams, reassigning employees to new roles, and eliminating positions as necessary. Meta’s efforts to balance operational efficiency with employee perks are part of its ongoing strategy to maintain stability and position itself for future growth in an evolving tech landscape.