American multinational technology conglomerate, Meta (formerly named Facebook) may demote middle managers and adopt the Instagram model of working.
This announcement follows when the company has 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.
Currently, Instagram operates with a “vertical model“. In this model, the employees are grouped according to their expertise. Additionally, The employees directly report to the top managers.
However, in the case of the Facebook company operates with a “matrix model”. In this model, the employees report to the middle manager. The middle managers report to the top executive. The company is adopting the Instagram model.
The company has asked the middle manager to be coders as well along with their current role of being managers. The managers who will be demoted will now work as ‘individual contributors’. This role of an ‘individual contributor’ includes the same role that was contributing before being promoted.
Earlier in December Meta announced a cost reduction. The company announced cutting employee benefits 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 was 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.
Earlier, The company announced a big round of layoffs which was about 11,000 people or 13 percent of the company. As of date, So far in 2023, there have been 572 layoffs at tech companies with 157,704 people impacted (2,544 people per day). In 2022, there were 1,535 layoffs at tech companies w/ 241,176 people impacted.
