Kuala Lumpur: China’s ByteDance, the parent company of TikTok, has laid off more than 700 employees from its Malaysian unit as part of a strategic shift towards enhanced AI-driven content moderation, according to two sources familiar with the situation. Most of the affected employees were engaged in content moderation operations and received email notifications about their dismissals late Wednesday. The sources spoke to Reuters on condition of anonymity, as they were not authorized to speak to the media.
In response to inquiries from Reuters, TikTok confirmed the layoffs on Friday but did not provide a specific number of employees impacted in Malaysia. The company anticipates that hundreds of employees worldwide will be affected as part of a broader initiative to enhance its moderation capabilities. TikTok employs a combination of automated detection systems and human moderators to oversee the content posted on its platform.
According to its website, ByteDance employs over 110,000 staff across more than 200 cities globally. The company is also planning further layoffs next month as it seeks to consolidate some regional operations, one source revealed.
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“We’re making these changes as part of our ongoing efforts to further strengthen our global operating model for content moderation,” a TikTok spokesperson stated. The company plans to invest $2 billion globally in trust and safety initiatives this year, aiming to improve efficiency. Currently, 80% of content that violates guidelines is removed by automated technologies, according to the spokesperson.
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The layoffs were initially reported by the business portal The Malaysian Reserve on Thursday. This development comes as global tech firms, including TikTok, face increasing regulatory scrutiny in Malaysia. The government has mandated that social media operators apply for operating licenses by January as part of efforts to combat cyber offenses. Earlier this year, Malaysia noted a significant rise in harmful social media content and urged companies to enhance monitoring on their platforms.
