Whereas layoffs maintain coming, to this point Apple has steered clear •

On Wednesday, Microsoft introduced it was shedding 10,000 folks. Alphabet added to the distress with one other 12,000 this morning. We’ve beforehand seen 18,000 jobs reduce at Amazon and one other 11,000 at Meta. You might additionally throw in Salesforce, which slashed 7,000 jobs originally of the month.

You’ll discover one firm is conspicuously lacking from this wretched listing, and that’s Apple, which at the very least till now, has remained on the sidelines in relation to layoffs.

It’s value noting that the corporate hasn’t had a historical past of huge layoffs, and the final huge one was again in 1997 when Steve Jobs returned to run issues and laid off 4,100 staff. That was a time when Apple was in dire straits, earlier than Jobs led an enormous turnaround that started a gentle march to the corporate we see in the present day.

One of many greatest causes we’ve heard for these layoffs has been over hiring, because the chart beneath illustrates:


Worker numbers at time of layoffs

Worker development 2020-2021 Workers laid off
Amazon 1.5 million 800,000 18,000
Alphabet 187,000 52,000 12,000
Meta 87,000 27,000 11,000
Microsoft 221,000 58,000 10,000
Apple 164,000 17,000

Supply: Macrotrends. Click on worker development numbers to entry supply knowledge.

These corporations grew like gangbusters through the top of the pandemic for varied causes, relying on the corporate, however every boosted their worker base considerably over the interval between 2020 and 2022. Because the economic system slowed all through 2022, these corporations determined it was time to make a correction, and we’ve seen these large layoffs consequently.

Whereas the opposite organizations have been including gobs of staff, Apple has employed at a way more modest charge than its giant tech firm counterparts, including solely 17,000 staff throughout 2020-2022. Maybe as a result of it didn’t usher in so many staff because the others, that might account for the truth that it has but to make huge layoffs.

The one layoff information so removed from Apple was a reasonably modest one. In August Forbes reported that the corporate quietly laid off 100 contract tech recruiters. In an organization of greater than 160,000 staff, that feels insignificant, however it might have been an indication that at the very least the corporate was slowing hiring.

And that’s precisely what occurred when the corporate introduced a hiring freeze in November. Whereas Apple indicated that it meant to maintain hiring in sure roles, it was a common freeze as a response to the general financial uncertainty that each one these corporations are reacting to.

The shifting financial local weather, and total uncertainty heading into the brand new 12 months, has additionally been an enormous driver of the job cuts, however Apple has prevented utilizing layoffs as a software up to now.

All that stated, with Apple scheduled to report earnings on February 1, we’ll in all probability get a clearer image of the corporate’s total monetary efficiency. No one can predict what’s going to occur right here, and positively given the general sample of layoffs we’ve seen just lately on the different corporations, it wouldn’t be unreasonable to anticipate one thing related, however maybe their hiring prudence will assist forestall a comparable destiny and Apple will spare its staff from this trauma.

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