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Lawsuit claims Meta's layoff decisions were made by AI, not humans

14 July 2026 at 20:05

Meta's AI-fueled layoffs of 8,000 employees targeted workers with disabilities and those who took protected medical or family leaves, alleged a lawsuit filed by 26 employees who were selected for termination. Meta used internal AI tools to select employees for layoffs, according to the complaint filed yesterday by 26 "Doe" plaintiffs in US District Court for the Northern District of California.

"Meta did not assemble the termination list through the considered judgment of managers who knew the work. Instead, Meta used a constellation of internal artificial-intelligence systems—including a system referred to internally as 'Metamate,' employee-trained 'second-brain' agents, keystroke- and activity-monitoring data, AI-token-usage dashboards, and algorithmically assisted performance ranking and calibration—to score, rank, and select employees for inclusion on the list," the lawsuit said.

Employees were allegedly graded, among other things, on how much they used Meta's AI tools. "Meta’s internal dashboards classified employees by their stage of adoption of its artificial-intelligence tools, using categories such as 'AI Native,' 'AI First,' and 'AI Enabled,'" the lawsuit said.

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New York bans data center construction for a year, rattling AI industry

14 July 2026 at 15:06

New York became the first state to pause all construction of massive new data centers after Democratic Governor Kathy Hochul announced a one-year moratorium on Tuesday, Reuters reported.

The state-wide ban applies to data centers using 50 megawatts or more, officials told Reuters, and it won’t be lifted until the state figures out what "consistent standards" for responsible data center development in New York should look like.

Across the US, calls to halt data center construction have multiplied, as Americans grow increasingly concerned about risks of pollution, rising energy costs, and diminishing water supplies. At the federal level, Bernie Sanders (I-Vt.) and Alexandria Ocasio-Cortez (D-NY) have introduced legislation seeking a possible nationwide construction ban. But Republicans are seemingly unlikely to embrace that legislation, given Donald Trump's claim that such moratoriums would threaten America's lead in the AI race.

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