Tags: workforce reduction

Meta has notified roughly 8,000 employees—about 10 percent of its workforce—that their positions are being eliminated. The layoffs, announced in a memo circulated in May, are framed as a move to run the company more efficiently and to offset the massive capital outlays tied to its new artificial‑intelligence initiatives. The cuts follow reports in March that Meta was preparing to shed up to 20 percent of its staff, and come as the firm projects $115‑$135 billion in capital expenditures for 2026, nearly double last year’s spend. Read more

Meta is reportedly preparing to cut roughly one-fifth of its staff as the company ramps up spending on artificial intelligence. Executives have asked peers to begin planning for the layoffs, though no exact headcount or timeline has been disclosed. The move comes amid Meta's aggressive AI hiring, large acquisitions, and a $600 billion data‑center investment plan through 2028. While the company seeks to lower costs by leveraging AI tools, it continues to pursue ambitious projects such as the Avocado model and new AI‑focused acquisitions. Read more

European banks could eliminate more than 200,000 jobs by 2030 as artificial intelligence reshapes back‑office, risk and compliance functions. The projected cuts represent roughly 10 percent of the workforce at 35 major banks, with efficiency gains of about 30 percent touted as the primary driver. Institutions such as AB Amro and Société Générale have already signaled aggressive staffing reductions, while some industry leaders warn that rapid automation may erode essential banking skills. The trend mirrors similar AI‑focused workforce strategies emerging in the United States. Read more

Salesforce CEO Marc Benioff announced a reduction of about 4,000 customer‑support positions, replacing many roles with the company’s AI system, Agentforce. The workforce fell from roughly 9,000 to 5,000, a 45% drop, while the AI now handles about half of all customer conversations—around 1.5 million interactions and roughly 10,000 leads each week. Benioff said he “needs less heads,” citing labor shortages and cost concerns. Human agents remaining work under an “omni‑channel supervisor” that blends AI and human effort, with customer‑satisfaction scores staying roughly unchanged. He predicts a shift toward “agentic enterprises” and urges young talent to embrace AI. Read more