Employees at Meta demand clarification from CEO Mark Zuckerberg after a large number of their coworkers were laid off while executives at Facebook’s parent business were given bonuses. Employees expressed their displeasure with Zuckerberg during a town hall meeting on Thursday, citing the “EE/GE” ratings, which indicated that the leadership team had exceeded expectations while the company was laying off more than 20% of its workforce.
The issue of bosses earning bonuses while workers are laid off is not new, but it has gotten more acrimonious in the aftermath of the pandemic. Many companies have employed layoffs and other cost-cutting measures to restore their finances, prompting criticism of executives who have collected bonuses while their companies have received government aid or have laid off staff.
In response to the employee’s question, Zuckerberg is said to have defended the incentives, saying he was satisfied with how his top managers performed in their expanded positions. His statement, however, did not satisfy many of the employees who attended the town hall.
Following the layoffs, Zuckerberg indicated that the business would scale down its hiring and onboarding of new staff. Last year, the business announced 4,000 job cuts across its technology divisions, including Facebook, Instagram, WhatsApp, and its virtual reality branch.
The topic of CEO pay and responsibility is complex, and it is unclear whether Zuckerberg’s explanation pleased the employees who attended the town hall. Nonetheless, this incident underscores the widening schism between employees and executives in the internet industry, as well as the need for greater transparency and responsibility in corporate decision-making.
Companies like Meta will need to find methods to reconcile the requirements of their employees with the demands of their shareholders and other stakeholders as they continue to negotiate the challenges of the epidemic and its aftermath. More open and honest communication, as well as a desire to participate in meaningful debate and collaboration with all stakeholders, will be required.
