Mark Zuckerberg’s ‘year for efficiency’ at Meta is spreading to the upper ranks of the company and incompetent Vice Presidents will be next to go.

Meta CEO Mark Zuckerberg has made his efficiency measures permanent. No one is safe, not even those at the top of the company.

Business Insider, citing sources with knowledge of Meta, reported that Meta had 300 vice presidents arranged in five levels of seniority as of last year. Zuck is now focusing on reducing the number of vice presidents to improve efficiency. Business Insider reported that Meta had half as many vice presidents in previous years. Zuckerberg wants to reduce the number of VPs to 250.

The VP murder comes after Zuckerberg declared 2023 as the “year for efficiency” in February last year. This resulted, according to BI, in over 20,000 layoffs. After seeing employees “execute faster and better”, Zuckerberg made the changes permanent. He also promised a “leaner”, operating structure, including a flatter hierarchical structure.

Meta relies on formal performance reviews conducted annually and at mid-year to help eliminate VPs who are allegedly lagging behind. These reviews are usually done in the first quarter. Meta will likely fire VPs that don’t perform well compared to their peers, using a “stack ranking”.

The VPs’ superiors also scrutinize their performance. According to company regulations, they are required to mark 10% to 12,5% of the reports that they receive as “underperforming”. This tactic may lead to the employees being placed on a performance-improvement plan, and then terminated.

A spokesperson for Meta declined comment. They referred Fortune back to a Facebook post from Zuckerberg in February, where he detailed Meta’s earnings. He also said that the changes he made during his “year of efficiency,” would be “permanently incorporated into how we operate.”

Zuckerberg’s measures of productivity are in stark contrast to Meta’s annual growth between 20-30%. Since Meta began its layoffs in 2013, it hasn’t stopped. Other big companies like Google, Microsoft and Tesla have also joined the fray. According to Layoffs.fyi, more than 250,000 tech workers were laid off in total last year.

Investors have rewarded Zuckerberg for taking the risk of making major job cuts. Analysts have praised the CEO’s work, including those from MoffettNathanson who wrote in a research report: “Mr. Zuckerberg is after all a capitalist.” – Fortune.com/The New York Times

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