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Meta cut down on equity-based awards for most of its employees as Facebook owners cultivated hundreds of billions of dollars into artificial intelligence projects and infrastructure.
The group reduces stock options annual distribution by about 10% for most of its staff, representing tens of thousands of employees.
The meta move to reduce key elements of employee compensation is when the group embarks on driving capital expenditures that are important for what Chief Executive Mark Zuckerberg described as a “really big year.” It happens to. Meta’s stock surged to nearly fifth place in 2025 alone, hitting record highs and surpassing many of the big tech rivals of Instagram ownership.
Every year, Meta employees receive what is called equity refresh. This forms a large portion of the compensation along with base salary and annual bonuses. According to people familiar with the issue, these stacks and “bests” are “best” every three months for four years.
It is said that most employees will receive about 10% less stake this year, several people said. According to people familiar with the issue, the exact reductions can vary depending on where employees are based and the level within the organization.
The company adjusts its stock salaries based on industry trends, but aims to provide one of the highest payouts in the local market, the person added.
Meta declined to comment.
The company raised its quarterly dividend from 5% to just over 52 cents last week.
Zuckerberg said in a recent revenue call that 2025 was intended to be a “stimulating” year in which Meta invests in becoming a “AI leader.” This includes spending on large projects such as data centers ranging from $600 billion to $65 billion in 2025.
Zuckerberg added that he hopes his long-term AI bet suite will pay off this year in a highly competitive area where Meta is fighting rivals such as Openai and Microsoft.
He also focuses on improving relations with the Trump administration after the president denounced the company for censorship.
Last month, Zuckerberg announced that Meta would shut down its fact-checking program and facilitate moderation in hate speech. The move was widely interpreted as an effort to appease the new president.
Zuckerberg visited the White House this month to discuss how META could support the administration as it advances American technical leaders overseas.
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As part of his AI push, Zuckerberg is focused on running a more lean company. In 2023, thousands of employees lost their jobs in what is called the “year of efficiency.” Last week, the company cut an additional 5% of its staff, targeting people considered “lowest performers.”
Some staff took them to Blind, an anonymous employee messaging committee, to discuss changes to their compensation. Another employee told the Financial Times that, combined with performance-related reductions, Meta felt that “we are “aiming for high attrition in 2026 (and) 2027.”
