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Apple has managed to avoid joining the wave of mass layoffs at other tech giants because its low hiring rate allows it to sidestep the problems Alphabet, Microsoft, Meta and Amazon have encountered with their large workforces. .
Layoffs at tech giants have put thousands out of work after Meta warned in November that it would cut 11,000 jobs. Microsoft will lay off his 10,000 employees, Google will lay off his 12,000 employees, and Amazon will lay off his 18,000.
in the profile of wall street journala combination of resilient business and slow hiring rates suggests that Apple has yet to join the rest of the group in a large layoff round.
From September 2019 to September 2022, Apple’s headcount increased by 20% to 164,000 full-time employees. Competitors, by contrast, are hiring feverishly, with Microsoft growing 53%, Alphabet 57%, and Meta 94%.
Apple isn’t immune to the market either, with the December quarter expected to be tougher than usual due to manufacturing issues in China. Meanwhile, in non-Apple Store retail channels such as Best Buy, a non-seasonal employee is given 30 days’ notice of his rights related to layoffs.
As for the more direct workforce, there is still hope that Apple will try to cut jobs. According to Tom Forte, Senior Research Analyst at DA Davidson & Co, the cuts can be easily achieved by attrition, or by not replacing employees who have decided to leave.
Apple may also reduce or change employee benefits. While they don’t offer free lunches to employees on corporate campuses like Google and Meta do to their employees, they may face cost savings in other benefits areas.
The last time Apple did a mass layoff was in 1997, when co-founder Steve Jobs returned to the organization. At that time, about 4,100 employees were laid off to cut costs.