A group of 26 former Meta employees has sued the company, alleging that artificial intelligence played a central role in deciding who lost their jobs during the latest round of layoffs and that the system unfairly penalized workers with disabilities, employees who took medical leave, and pregnant workers.
The lawsuit, filed late Monday in federal court in Oakland, California, claims Meta relied on AI-powered software to rank employees during workforce reductions announced earlier this year. According to the complaint, the system weighed factors such as productivity metrics and AI token usage, putting workers who had taken time away from work for health reasons at a disadvantage.
“Twenty-six former employees of Meta Platforms have filed a lawsuit against the tech company, accusing it of using AI-powered software that disproportionately targeted people with disabilities or who took medical leave in selecting people for mass layoffs,” Reuters reported.
The case raises fresh questions about how companies use AI in high-stakes employment decisions. As businesses adopt AI across hiring, performance reviews, and workforce planning, critics have warned that automated systems can reinforce bias if the underlying data fails to account for protected leave or disabilities.
Meta announced earlier this year that it would cut roughly 10% of its global workforce, affecting nearly 8,000 employees, with additional layoffs expected later in the year. The plaintiffs argue that the company’s selection process violated federal and state laws that prohibit discrimination and retaliation against workers with disabilities, employees who take protected medical leave, and pregnant workers.
Meta Sued by 26 Former Employees Over Alleged AI-Driven Layoff Bias Against Disabled Workers
The 26 plaintiffs, who filed the lawsuit anonymously, live across six states, including California and New York, along with the District of Columbia.
Meta rejected the allegations.
“Workforce management and organizational decisions were and are made by people, not AI,” a Meta spokesperson said Tuesday. “The claims lack merit.”
The lawsuit arrives just three months after reports revealed that Meta had been collecting employee keystrokes, mouse movements, and screen activity as part of an internal effort to train AI systems. The initiative was tied to the company’s broader push to develop AI agents capable of performing workplace tasks with minimal human involvement.
Taken together, the reports paint a picture of a company leaning heavily on AI across its internal operations. The new lawsuit shifts attention from AI development to a more contentious question: whether AI influenced employment decisions in ways that disadvantaged legally protected groups.
The plaintiffs are seeking relief under federal and state employment laws. The case is likely to draw close attention from employers, regulators, and legal experts as companies increasingly introduce AI into human resources and workforce management.
If the allegations hold up in court, the lawsuit could become one of the most closely watched legal tests of AI’s role in corporate layoff decisions. For companies racing to automate internal processes, the outcome may help define where human judgment must remain part of the decision-making process.
