According to the reports, Facebook owner Meta will be lowering bonus payments for some employees. The bonus multiplier for that grade has been cut to 65% from 85% earlier.
Chief Executive Mark Zuckerberg earlier in February declared 2023 the “year of efficiency.” Following the footsteps, the company will also restart assessing staff performance twice a year.
The reports have suggested that it will be assessing the performance of employees and based on the rating of “met most expectations” in their 2023 year-end reviews will receive a smaller percentage of bonus and restricted stock award due in March 2024.
“We understand that while this is a significant change that might disappoint some people, it aligns with our continued focus on maintaining a high-performance culture,” the memo said.
The CEO also urged employees to work from the office to increase efficiency. Additionally, he also said the company’s analysis shows the employees who worked from the office fared better than those who worked remotely.
Mark Zuckerberg said, “As part of our Year of Efficiency, we’re focusing on understanding this further and finding ways to make sure people build the necessary connections to work effectively.”
Earlier, the company had given poor performance reviews to around 7,000 employees. The company has marked the employees as “subpar” in recent performance reviews. The parent firm of Facebook and Instagram also got rid of a bonus metric.
This follows when recently Meta announced the fresh layoff of about 10,000 staff. Meta in terms of reducing cost was reportedly also planned to cut employee benefits that cover mental health costs and “work-life balance needs.”
As per reports, The company was slashing its “Life@ benefit” funds from $3,000 (Rs 2.43 lakh) to $2,000 (Rs 1.65 lakh) in 2023. This is due to poor macroeconomic conditions as the reason for the cut.
Life@ benefit is one of the several perks Meta has pulled back on over the last few months in its effort to restructure the company to reduce spending.
