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Our work environments today are anything but stable. Economic pressures, shifting expectations and an unending march toward efficiency and growth appear to be the name of the game. Companies are rethinking how they manage their teams in some very public ways, too. A few are slashing costs with high-profile layoffs, others are doubling down on strict return-to-office mandates in a bid for silent or quiet layoffs, and some are leveraging AI while doing all of the above.
Amid this turbulence, another trend has (maybe) surfaced: Companies are cracking down on minor employee missteps. What once might have earned a reprimand now results in termination.
Meta and EY Crack Down on Misconduct
Meta recently made headlines by firing 24 employees at its Los Angeles office for misusing daily meal credits. Instead of using these $20 and $25 allowances for food delivery as intended, the employees bought non-food items like toothpaste, laundry detergent and in one case, wine glasses.
One employee, reportedly earning $400,000 annually, admitted on the anonymous business community platform Blind that they used the credits on household items when they weren’t eating at the office. Meta’s HR investigation found these weren’t necessarily one-time mistakes. The offenders all had repeated violations of the policy, leading to terminations, while others with minor infractions received warnings instead.
Around the same time, EY fired dozens of employees in the U.S. for multitasking during online training sessions. The dismissed staffers clarified that they didn't attend two sessions at once to accelerate credit accumulation. Instead, they emphasized their desire to avoid missing out on concurrent sessions they found valuable and engaging. They were ultimately cited for violating EY's Global Code of Conduct and U.S. Learning Policy. That feels like a very fast good-to-gone transition.
In both cases, what used to be a slap on the wrist is now a pink slip.
Related Article: Have You Considered These Alternatives to Layoffs?
What’s Behind the Strictness?
So, two high-profile firings for misconduct. It's not the big-time financial fraud, theft or leaking ideas to competitors type of misconduct, though. We’re talking about getting wine glasses instead of some Chipotle.
Why the sudden crackdown on minor infractions?
Economic pressures have to be a big part of the answer. I've known managers who nitpick low-performing employees for minor misconduct to speed up what they see as the inevitable outcome of a performance improvement plan: termination. They want to backfill the role quicker and don’t want to wait for a PIP to run its course. This is problematic because these standards are rarely applied equally across the team. While Meta and EY may not be selectively enforcing it in this case, in brighter times, they may have been more willing to work with employees.
Layoffs are messy and expensive. They bring bad press and can shake investor confidence. Quietly (or in this case, not-so-quietly) firing employees for policy violations is much simpler and far less damaging to the company’s image. In sectors like tech and finance, strict enforcement of workplace rules can be a more subtle method to reduce headcount.
Cost is always a factor, too. Higher-paid employees or those deemed less essential are often the first targets. Strict policy enforcement provides companies with a seemingly values-driven justification for these decisions.
But perhaps this isn’t just about quiet layoffs.
Many industries, especially finance and tech, are under tighter regulations. Even minor mistakes can lead to hefty penalties — fines, audits, public scrutiny. Compliance is a big deal. Let's not underestimate the pressure that federal and state agencies can exert on companies.
This could also be part of a broader cultural reset, signaling a commitment to ethics and compliance after numerous corporate scandals. Companies want to show they’re serious about accountability — whether it’s to reassure regulators or rebuild public trust. That might be something on the minds of the leaders at Meta, at least.
Related Article: Forrester Predicts an EX Winter Is Coming. How to Prepare
Life Under the Microscope: Employee Fallout
What does this new commitment to compliance mean for the average worker?
It doesn't feel good to live under a microscope, constantly worried that any misstep could lead to getting fired. This leads to mistrust, isolation and issues being hidden that would otherwise be addressed. A culture like this stifles creativity and discourages risk-taking — the very traits companies claim to value, but are quick to suppress when compliance takes priority.
Strict enforcement without transparency also destroys psychological safety. Employees who feel constantly under threat struggle to trust leadership, and that erosion of trust deeply damages morale and ultimately, performance.
Fear-driven environments lead to burnout, turnover and stagnation. The supposed savings from firing employees for minor infractions are often outweighed by the damage to retention and company culture.
That doesn’t mean employees who don’t follow company policies shouldn't face consequences. But if the goal is to become a more compliant organization, it’s probably worthwhile to take a more proactive and transparent approach to prevent misconduct.
Related Article: Survivor's Guilt and Other Ways Layoffs Impact the Employees Left Behind
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Navigating the Tightrope
These firings carry significant implications, whether intentional or not. The fallout on company culture, morale and trust is undeniable, even if you agree employees shouldn’t multitask or buy laundry detergent with food money.
For companies, transparency is key. If compliance is the goal, be clear about expectations, especially if they are shifting. If it's more about cutting costs, reconsider the approach to avoid damaging trust and company culture, even if it has short-term consequences.
Whether this is a passing trend or the new normal, one thing remains certain: how companies navigate these decisions today will shape their reputations and employee trust for years to come. Whether it's intentional or not, the impact on company culture, morale and trust is very real.
