Meta Faces Lawsuit Over Allegations of AI-Driven Discrimination in Layoffs

Summary

Twenty-six Meta employees have filed a federal lawsuit alleging that the social media giant used artificial intelligence systems to target workers on medical or family leave for layoffs. The lawsuit, filed in California this week, claims Meta deployed AI performance ranking systems that failed to account for protected leave status, effectively penalizing employees for exercising their legal rights to medical, parental, or bereavement leave. The company laid off approximately 8,000 employees (10% of its global workforce) in May 2026 as it sought to offset costs associated with AI investments.

According to the lawsuit, Meta's AI monitoring systems tracked employee keystrokes and activity, while also requesting workers train personal AI agents called "second brains" — ostensibly so the company could maintain productivity even during employee absences. The lawsuit alleges that senior leaders trained these AI agents before taking leave, including maternity leave, so Meta could continue drawing on their output during their absence. Named plaintiffs include a California manager who received strong performance reviews but was laid off weeks after filing maternity leave.

Meta has denied the allegations, stating that "workforce management and organizational decisions were and are made by people, not AI." The employees are seeking a court order preventing further layoffs and compensation alterations, along with an independent audit of the company's algorithmic selection process. The case represents an emerging legal battleground around AI governance in human resources and employment practices.

• The case raises urgent questions about AI governance in HR decision-making and the need for algorithmic safeguards to prevent discrimination against protected classes