live server does not detect changes in files in subfolders of root directory, and does not live-reload in those cases

[GenericallyNamed]

I'm submitting a...

[ ] Regression (a behavior that used to work and stopped working in a new release)
[x] Bug report  <!-- Please search GitHub for a similar issue or PR before submitting -->
[ ] Feature request
[ ] Documentation issue or request
[x] Other: Could be a bug, or could be an issue with my configuration. I can't find any posts that reference my issue.

Current behavior

Files in subfolders, i.e. css files in a "style" subfolder, are not picked up by the live-server and the server does not live-reload when changes are made to these files. When these files are moved out of the subfolder into the root directory, the live-server functions as it should and detects changes to those files.

Expected behavior

I am looking for a way to configure the extension so that the live server picks up changes in subfolders and not just the root folder.

Environment

I am using Firefox and Edge/Chrome

For Tooling issues:

• Live Server: 5.7.5
• Platform: Windows 10/WSL Ubuntu
• Visual Studio Code: 1.67.1

Let me know if there is anything else I should add that might be relevant or helpful.