Meta's job cuts surprised some employees who said they weren't low performers

Category: Business

Meta's recent layoffs affected nearly 4,000 employees, including many who had received positive performance ratings. The company aimed to cut 5% of its lowest performers, but some higher-rated staff were surprised by their inclusion in the cuts. Employees expressed frustration over the sudden downgrading of their performance ratings and the public framing of the layoffs as targeting low performers, which they felt misrepresented their work history.

Keywords: Meta, layoffs, performance ratings

Source: Business Insider

Update At: 2/11/2025

Related Sources

Super Micro's Weak Profit Fuels AI Server Margin Anxieties

Super Micro Computer Inc. reported quarterly revenue of $5.31 billion and profit of $6.25 per share, both missing analysts' estimates. The company forecasts revenue between $26 billion and $30 billion for the fiscal year ending June 30, 2025, exceeding Wall Street projections. Despite a surge in demand for AI-related equipment, concerns about long-term profitability persist, leading to stock volatility following the earnings report and a 10-for-1 stock split announcement.

Yahoo Finance

Super Micro's Weak Profit Fuels AI Server Margin Anxieties

Super Micro Computer Inc. reported quarterly revenue and profit that fell short of analysts' expectations, with profit at $6.25 per share and sales at $5.31 billion, both below forecasts.

Bloomberg.com

Super Micro gives margin, profit forecast below estimates; volatile shares down 14%

Super Micro Computer reported a fourth-quarter adjusted gross margin of 11.3%, below the expected 14.1%, due to high costs from transitioning to AI chips. Despite a volatile stock reaction, the company forecasts first-quarter and annual sales above estimates, with net sales expected between $6 billion to $7 billion. Analysts remain concerned about the impact of spending on new AI chips on profit margins.

Yahoo Finance

Disney beats estimates as combined streaming services turn a profit

Disney's fiscal third-quarter earnings exceeded analyst expectations, with a 19% increase in total segment operating income to $4.225 billion. The company's combined streaming businesses, including Disney+, Hulu, and ESPN+, turned a profit of $47 million, marking a significant turnaround from a $512 million loss in the same quarter last year. However, the direct-to-consumer streaming unit, excluding ESPN+, reported a loss of $19 million.

CNBC

Disney’s streaming business turned a profit for the first time

Disney's streaming business has achieved profitability for the first time, reporting a $47 million profit in Q3, a significant turnaround from a $512 million loss last year. Disney Plus and Hulu contributed to this success, while ESPN Plus continued to incur losses. Subscriber growth for Disney Plus and Hulu has been modest, with Disney Plus reaching 54.8 million subscribers and Hulu 51.1 million.

The Verge

Disney’s Parks Struggle, Exposing a New Trouble Spot

Disney's theme parks are facing challenges due to reduced consumer spending amid high inflation, leading to weaker-than-expected financial results. Revenue increased by 2% to $8.4 billion, but operating profit declined by 3% to $2.2 billion. The company is managing costs aggressively as demand softens, which could affect future quarters. Theme parks have become crucial for Disney's financial health, contributing significantly to operating profit and funding expansions in streaming and cruise lines.

The New York Times

Disney earnings: Streaming unit turns first profit while parks business lags

Disney reported its streaming division turned a profit for the first time, with Q3 adjusted earnings of $1.39 per share and revenue of $23.2 billion. However, the parks division faced challenges, leading to a 6% drop in operating income. The company raised its full-year adjusted earnings growth guidance to 30% and announced price hikes for Disney+ and Hulu. Despite a slight increase in Disney+ subscribers, average revenue per user fell. The parks business is expected to continue facing demand moderation, while ESPN showed growth in operating income.

Yahoo Finance

Disney Tops Views With First Streaming Profit; Parks Disappoint

Walt Disney Co. reported mixed third-quarter results, with its US theme parks facing challenges from rising costs and low demand, while achieving its first profit in streaming. Disneyland Paris was impacted by reduced summer travel due to the Olympics, and there was noted softening in China.

Bloomberg.com

Disney's streaming business turns a profit for the first time and earlier than expected it as company tops expectations

Disney's streaming business has achieved profitability for the first time, surpassing expectations ahead of schedule.

ABC News - Breaking News, Latest News and Videos

Disney returns to profit in third quarter as streaming business starts making money for first time

Disney reported a profitable third quarter with a significant increase in operating income, driven by its streaming business and the success of Inside Out 2. The company achieved profitability in its combined streaming services for the first time, while revenue rose 4% to $23.16 billion. Despite challenges in domestic parks, Disney anticipates continued growth in adjusted earnings per share.

AP News