Did Meta’s AI Decide Who Got Fired? Lawsuit Claims Workers on Medical Leave Were Targeted

Twenty-six current and former employees have filed a lawsuit against Meta Platforms, accusing the technology giant of using artificial intelligence-powered systems that disproportionately targeted workers with disabilities, pregnancy-related leave and protected medical absences during its latest round of mass layoffs.

The lawsuit against Meta, filed in the U.S. District Court for the Northern District of California in Oakland, seeks to temporarily halt the layoffs while the workers pursue their claims through private arbitration.

The complaint centres on Meta’s workforce reduction announced in May, when the company cut around 10% of its global workforce, nearly 8,000 employees, as part of a broader restructuring tied to increased investments in artificial intelligence.

The plaintiffs, who were informed in May that their employment would end from July 22, allege the company’s AI-assisted evaluation systems unfairly disadvantaged employees whose productivity was affected by legally protected leave.

AI Systems Influenced Layoff Decisions

According to the lawsuit, Meta relied on multiple internal AI-assisted systems to score, rank and identify employees for termination instead of depending solely on managers’ evaluations.

The complaint alleges these systems assessed factors such as productivity, AI token usage, communications, documents and digital activity, including keystrokes, emails, browser history and screen content.

The workers claim the AI-generated performance metrics failed to account for time spent on approved medical, family or maternity leave, resulting in lower scores for employees who exercised legally protected rights.

The lawsuit alleges, “Meta did not assemble the termination list through the considered judgment of managers who knew the work.” Instead, the complaint says the company relied on AI systems “to score, rank and select employees for inclusion on the list”.

Discrimination Against Protected Groups

The plaintiffs, who filed anonymously and come from six US states and the District of Columbia, accuse Meta of violating federal and state laws prohibiting discrimination against employees with disabilities, pregnant workers and those taking protected medical or family leave.

They also allege the company failed to test its AI systems for bias, as required under recently adopted laws in California and New York City.

One plaintiff, a scientist on approved pre-birth pregnancy leave, reportedly received notice of her layoff just two days before giving birth.

Another employee claims his performance rating declined after taking leave for an injury, while a manager says he was laid off only 16 days into approved medical leave.

The workers are seeking a preliminary court order preventing Meta from completing the layoffs, along with potential remedies including reinstatement, back pay, lost stock awards, benefits and other damages.

Meta Rejects Allegations

Meta has denied the allegations, maintaining that AI did not make workforce decisions. “Workforce management and organizational decisions were and are made by people, not AI,” a Meta spokesperson said, adding that the claims “lack merit”, reported Reuters.

The lawsuit is believed to be the first legal challenge against a major US company alleging the use of AI-powered systems to conduct discriminatory layoffs. It comes as employers increasingly integrate artificial intelligence into workplace management, prompting growing scrutiny from regulators over bias, transparency and accountability in automated decision-making.

Growing Debate Over AI in Workplace Decisions

The case adds to broader concerns surrounding the use of AI in employment decisions as companies increasingly adopt automated systems to assess productivity and performance.

Several US states, including California, Colorado and Illinois, have introduced laws regulating automated decision-making tools amid fears that algorithmic systems could unintentionally discriminate against protected groups.

The outcome of the Meta lawsuit could become a significant legal test for how AI-assisted workplace decisions are scrutinised under employment discrimination laws, particularly as technology companies continue expanding AI’s role in human resources and organisational management.