Meta Platforms has terminated about two dozen employees in Los Angeles over the misuse of meal credits intended for work-related meals. These employees reportedly used their $25 credits on non-food items, such as household goods. The terminations occurred just before Meta initiated broader restructuring plans across various teams, signaling that CEO Mark Zuckerberg’s drive for efficiency is still in full swing.
The Meal Credit Scandal Unfolds
It may seem trivial at first—misusing $25 meal credits—but it quickly snowballed into something bigger for Meta staff. Employees working in offices without in-house cafeterias received Uber Eats or Grubhub credits to cover meals while on the job. For many, the opportunity to score some extra goodies on Meta’s dime seemed harmless. But what started as free food turned into something else entirely.
Reports indicate that some staff used the credits to buy household items, including wine glasses and laundry detergent. For many of those involved, the violations weren’t just one-off mistakes. In fact, several employees had allegedly been pooling their meal credits, or using them to have meals delivered to their homes, a clear violation of company policy.
Meta acted decisively. Firings took place last week, just before the tech giant announced a restructuring affecting teams across WhatsApp, Instagram, and Reality Labs.
Restructuring Continues as Efficiency Becomes Priority
Meta’s restructuring isn’t exactly new. The company, valued at $1.5 trillion, has been trimming down since 2022 in what Zuckerberg called a “year of efficiency.”
- Two rounds of layoffs in 2022 and 2023 slashed around 21,000 jobs.
- Smaller offices outside the main Silicon Valley campus experienced relocations and role eliminations.
- Meta shifted focus to artificial intelligence while slashing low-priority projects, including parts of its virtual reality initiatives.
Even before these latest meal credit firings, Zuckerberg’s vision for a leaner Meta was in motion. Departments across the company have seen cuts and relocations. One source close to the decisions shared that while some teams have been let go, others have merely been moved to different locations.
This streamlining is all part of a grander effort to boost investor confidence. Wall Street, long concerned about Meta’s massive investments in the metaverse, has responded favorably to the cuts. The company’s stock, riding the momentum of these efficiency moves, is trading at around $577—near its all-time highs.
The Employee Perspective: ‘Surreal’ Firings Over Credits
It’s not just about the numbers, though. Employees are feeling the effects. One former Meta employee took to Blind, an anonymous workplace messaging platform, to share their disbelief. They recounted how they used the meal credits for personal items like toothpaste on days they weren’t dining at the office.
Their rationale? Why let it go to waste if they weren’t going to use it for food? That sentiment proved costly. Despite having a salary reportedly close to $400,000, the staffer admitted to the violation and was fired soon after.
The incident seemed to come as a shock, with the former employee describing it as “almost surreal.” For many, the firings raised questions about whether stricter enforcement of small perks, like meal credits, reflects a shift in corporate culture, or if it’s just an unfortunate consequence of broader cost-cutting.
What’s Next for Meta?
While Meta’s comment on the firings was sparse, their statement about the wider layoffs was clear. The company aims to ensure resources are aligned with “long-term strategic goals.” And those goals clearly prioritize AI and sustainable growth over costly investments in the metaverse, which had failed to meet expectations.
Despite these cuts, Meta is still a powerhouse. Wall Street’s renewed confidence in the company shows that investors believe in Zuckerberg’s shift to AI and his focus on a leaner, more efficient organization. Whether this is the right path long-term remains to be seen, but for now, the markets seem pleased.
Meta’s challenge moving forward will be balancing its aggressive cost-cutting with employee morale. The tech sector is known for generous perks, and incidents like these firings could raise concerns about workplace culture. Still, with $577 stock prices and AI advancements, Zuckerberg’s bets may just pay off.
