Meta approves massive bonuses for executives — days after slashing 5% of workforce

Core Points - Meta has approved significant increases in executive bonuses, raising the target bonus percentage from 75% to 200% of base salary, shortly after laying off approximately 4,000 workers [1][2][3] - The decision to increase bonuses was made after a board committee found that total target compensation for executives was at or below the 15th percentile compared to rival companies, with the new compensation placing them at approximately the 50th percentile of peer group compensation [3] - Meta has also reduced stock awards for staff by about 10%, impacting thousands of employees, while the company plans to invest $65 billion in AI and robotics advancements this year [4][5] Financial Performance - Meta's fourth-quarter revenue increased by 21% year-over-year, reaching $48.39 billion [5] - Over the past 12 months, Meta shares have surged by 48%, driven by significant investments in artificial intelligence [5][6] Executive Context - Mark Zuckerberg, the CEO, is excluded from the updated bonus plan, and his net worth is reported at $245 billion, making him the second richest person globally [2] - The changes in executive compensation come amid a broader trend of improving investor sentiment towards Meta and its tech peers, partly due to closer ties with political figures [6][7]