Meta laid off several hundred employees across Facebook, sales, recruiting and Reality Labs as part of a restructuring push towards AI. Hours before the cuts, it granted stock options to top executives, tied to a $9 trillion valuation goal by 2031. The company signalled more workforce changes may follow as it streamlines operations.

Meta laid off several hundred employees, in a sweeping reorganisation spanning five of its major business units, even as the company rewarded its top executives with lucrative new stock incentives the night before.

The cuts hit across Facebook, global operations, recruiting, sales, and the company's virtual reality division, Reality Labs, according to New York Times. The layoffs reflect Meta's sharpening pivot toward artificial intelligence and away from legacy headcount-heavy operations.

Executives rewarded before the axe fell

In a move that drew sharp attention, Meta disclosed in corporate filings, hours before the layoffs were announced, that it was granting stock options to six of its most senior leaders for the first time since the company's 2012 IPO. Finance head Susan Li, Chief Technology Officer Andrew Bosworth, Chief Product Officer Christopher Cox, and Chief Operating Officer Javier Olivan are among the recipients of the new stock option incentive programme.