To say something is fucked up is a way of expressing that something is broken, damaged, or not working the way it should. It can also be used to say that a person is emotionally damaged or that something is stupid or unreasonable.
Please note that the phrase is a curse word and is considered to be slang and can be very offensive.
Ex: I have to work with some really fucked up people.
Ex: The subway is all fucked up because of the workers strike.
Ex: Humans have really fucked up the planet.