Meta to Reduce Staff Bonuses and Increase Performance Reviews in 2024

As part of its ongoing restructuring efforts, Facebook parent company Meta has announced that it will reduce employee bonuses and increase performance reviews in 2024. This latest move comes after Meta announced layoffs of more than 20,000 employees, closed several projects and teams, and reduced office space and travel costs in recent months.

The announcement was made in an internal memo to Meta managers, which stated that employees rated "basically in line with expectations" in their 2023 year-end review will receive a lower percentage of their bonuses and restricted stock awards in March 2024. The percentage will be reduced from 85% to 65%. Additionally, the company will adjust employee performance reviews to twice a year.

A Focus on Efficiency

Meta CEO Mark Zuckerberg declared 2023 as the "year of efficiency" for the company. Since November, the company has implemented various measures to streamline operations, reduce costs, and improve performance. This latest move to reduce staff bonuses and increase performance reviews is part of that effort.

"We understand that while this is a significant change that may disappoint some, it is consistent with our continued focus on maintaining a high-performance culture," the memo read. "These updates reflect the lessons we have learned in 2022 and our changes made for optimization in the coming year.”

Impact on Employees

The reduction in bonuses and increased performance reviews is likely to have a significant impact on Meta employees. The company's decision to cut jobs and reduce expenses has already led to widespread anxiety among employees. Many have expressed concerns about job security and the company's direction.

In response to these concerns, Meta has emphasized its commitment to maintaining a high-performance culture and improving efficiency. The company has stated that it will provide support and resources to help employees succeed in this new environment.

Looking Ahead

As Meta continues to implement its restructuring plan, it remains to be seen how these changes will affect the company's long-term performance. Some experts have raised concerns that the focus on efficiency could come at the expense of innovation and growth. Others argue that the company's restructuring efforts are necessary to address long-standing issues with performance and management.

Regardless of the outcome, it is clear that Meta's latest move to reduce staff bonuses and increase performance reviews is part of a broader effort to improve the company's performance and position it for future success. As the company continues to evolve, employees will need to adapt to new expectations and work together to achieve their goals.