Meta is firing a few hundred employees across multiple teams, according to a recent report by Reuters, which cites a source familiar with the matter.

As per the report, the latest round of layoffs is a smaller-scale reduction compared to earlier reports of potentially sweeping cuts. The layoffs will affect the company's Reality Labs division, social media teams, and recruiting operations, according to an earlier report by The Information.

As per Reuters, a Meta spokesperson said in a statement that teams across the company regularly restructure to ensure they are positioned to achieve their goals, and that the company tries to find other opportunities for employees whose roles are affected where possible.

The job cuts come as Meta seeks to manage rising costs tied to significant investments in artificial intelligence. The company has forecast total expenses between $162 billion and $169 billion for 2026, with employee compensation increasing as it spends heavily to hire top AI talent.

Earlier this month, Reuters reported that Meta was planning broader layoffs that could affect 20% or more of its workforce, with top executives signalling the plans to other senior leaders. The latest cuts were considerably smaller in scale. Meta employed nearly 79,000 people as of December 31, according to its annual filing.