Meta Platforms (META) has reduced the stock awards given to its employees as part of their annual compensation.
The technology giant that runs social media platforms Facebook and Instagram has cut its annual stock options payout to staff by 5%, according to media reports.
This is the second year in a row that Meta has reduced its stock-based compensation. In 2025, the company lowered its stock awards by 10%.
The cuts to employee remuneration come as Meta ramps up its spending on artificial intelligence (A.I.) and competes against rivals OpenAI and Alphabet (GOOGL), among others.
In its latest earnings release, Meta Platforms said it plans to spend as much as $130 billion U.S. on A.I. initiatives in 2026.
Meta employees receive annual “equity refreshers,” or stock awards, alongside their base salaries and cash bonuses.
The exact cut to this year’s stock award depends on the individual person and their role within Meta, according to reports.
In recent weeks, Meta has said that it plans to overhaul its performance review system this year and offer greater rewards to top performers inside the company.
META stock has declined 8% in the last 12 months to trade at $644.78 U.S. per share.
