Meta reportedly paused or abandoned a proposed AI-led restructuring that could have cut thousands of jobs, after its internal AI tools failed to deliver the productivity gains expected and employees objected to workplace monitoring. The plan matters because it illustrates the practical limits and workforce tensions facing companies seeking to replace or reorganise human roles around AI agents.

Known as Project OT, the proposal envisaged smaller human teams supervising AI, broader “builder” roles and reductions of up to 60% in some teams; a further November lay-off round was reportedly considered. Meta said code changes to its AI platforms rose 220% year on year, but user-facing features increased only 36%, while technical and security incidents rose 40% and time spent resolving them grew 70%; the company has not ruled out future, smaller cuts.