Meta Platforms NASDAQ:META is facing a lawsuit from 26 former employees who claim the company used AI-assisted evaluation tools in a discriminatory way during a recent round of layoffs, according to Reuters.
The lawsuit, filed in federal court in Oakland, California, alleges Meta relied on metrics such as productivity and AI token usage when selecting employees for layoffs. The plaintiffs argue those measures disproportionately disadvantaged workers with disabilities, employees on approved medical leave and pregnant workers.
Meta owns Facebook, Instagram, WhatsApp and Messenger, generating most of its revenue from digital advertising while investing heavily in artificial intelligence. Earlier this year, the company announced plans to cut about 10% of its workforce, or nearly 8,000 jobs.
Meta denied the allegations, saying workforce and organizational decisions "were and are made by people, not AI," and that the claims lack merit.