According to an internal memo cited by the Wall Street Journal, Facebook owner Meta Platforms Inc (NASDAQ:META) is set to lower bonus payouts for certain employees and implement more frequent assessments of staff performance as part of a larger restructuring plan.
Employees will be evaluated based on their performance, and those receiving a 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, the report said. The bonus multiplier for this grade has been reduced from 85% to 65%.
The company’s focus on maintaining a high-performance culture is aligned with the change, the memo stated. The report added that Meta will also resume assessing staff performance twice a year.
Meta did not immediately respond to a Reuters request for comment outside business hours.
On March 14, Meta announced a second round of layoffs, cutting 10,000 jobs this year as part of a restructuring plan that will also see it cancel plans to hire for 5,000 openings, eliminate lower-priority projects, and flatten layers of middle management as the industry prepares for a severe economic downturn.