Meta approves bonuses of as much as 200% for firm execs because it lays off employees

Meta CEO Mark Zuckerberg not too long ago appeared on Joe Rogans podcast the place the 2 mentioned shifting company tradition within the wide-ranging in depth interview.

Fb mum or dad firm Meta not too long ago introduced that it permitted bonuses of as much as 200% for the corporate’s executives.

In a submitting with the Securities and Alternate Fee (SEC) dated Feb. 13, Meta stated that its Compensation, Nominating and Governance Committee (CNGC) permitted a rise within the goal bonus share for named executives apart from CEO Mark Zuckerberg.

The change will increase bonuses from 75% of the named govt officer’s base wage to 200% of their wage, and would begin taking impact with the corporate’s 2025 annual efficiency interval.

“In approving this increase, the CNGC considered that the target total cash compensation for the named executive officers (other than the CEO) was at or below the 15th percentile of the target total cash compensation of executives holding similar positions at the peer group of companies that the Company benchmarks against for executive compensation purposes,” Meta stated.

META CEO MARK ZUCKERBERG SAYS ‘EVERYTHING I SAY LEAKS’ FROM INTERNAL MEETINGS: ‘IT SUCKS’

Meta introduced a change to its govt bonus construction that may let named executives apart from the CEO get 200% of their wage, up from 75%. (Photographer: David Paul Morris/Bloomberg through Getty Photos / Getty Photos)

With the change, the entire money compensation for the non-CEO executives at Meta “falls at approximately the 50th percentile of the Peer Group Target Cash Compensation.”

Ticker Safety Final Change Change % META META PLATFORMS INC. 687.98 -6.86
-0.99%

The upper bonuses come after Meta signaled in mid-January that it will reduce 5% of its workforce primarily based on efficiency. Zuckerberg stated in a memo that, “I’ve decided to raise the bar on performance management and move out low-performers faster.”

“We typically manage out people who aren’t meeting expectations over the course of a year, but now we’re going to do more extensive performance-based cuts during the year,” he stated.

META CUTTING 5% OF WORKFORCE BASED ON PERFORMANCE

Meta CEO Mark Zuckerberg not too long ago introduced the corporate would reduce 5% of its workforce primarily based on efficiency. (Reuters/Manuel Orbegozo / Reuters)

Meta stated that it is planning to achieve 10% of “non-regrettable” attrition earlier than the top of its present efficiency cycle. That determine contains about 5% non-regrettable attrition from 2024, based on the memo.

Meta, which can be the mum or dad firm of Instagram, WhatsApp and Oculus along with Fb, has seen its inventory rise by about 14.8% for the reason that begin of the yr.

Final month, Zuckerberg stated the corporate is planning to take a position as much as $65 billion within the firm’s synthetic intelligence (AI) initiatives.

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He wrote in a publish on Fb that 2025 “will be a defining year for AI,” and stated he expects the corporate’s “Meta AI will be the leading assistant serving more than 1 billion people, Llama 4 will become the leading state of the art model, and we’ll build an AI engineer that will start contributing increasing amounts of code to our R&D efforts.”