Apple's layoffs haven't happened yet because unlike Google, Microsoft, PayPal, and other big names in the tech industry, the iPhone maker was able to retain its employees.
Based on the announcements made by tech CEOs, they are all affected by the ongoing economic crisis. If almost all tech firms are affected by uncertain economic conditions, then why is Apple not terminating its employees?
Apple Layoff: Here's How iPhone Maker Avoided It
According to Fortune's latest report, Apple made one key condition that allowed it to avoid mass layoffs.
What it did is rely on a different recruitment strategy. Instead of hiring hundreds or thousands of staff, the iPhone maker welcomed fewer employees.
Aside from this, Apple also decided to halt hiring operations, especially outside the development and research departments.
"This signals a better quality of management at Apple compared to other technology companies that clearly read the signals during the pandemic the wrong way," explained Peter Garnry, Saxo Bank's Head of Equity Strategy.
The cautious approach that Apple took when it comes to hiring new employees paid off.
Although its overall staff only increased by 20% (from 2020 to 2022), the iPhone maker was able to generate more income per additional employee compared to Google and other tech firms.
Apple Faces Other Issues
While Microsoft and other giant tech companies are mainly suffering from mass layoffs, Apple is facing other business problems.
CNN Business reported that the gadget maker faced threats of antitrust lawsuits in the United States and EU.
It is also affected by the decreasing global smartphone shipments. Statistics showed that smartphone deliveries were reduced by 18% in the 4th quarter of 2022.
Apple is also affected by China's COVID-19 restrictions, which led to supply chain hurdles. Despite all these problems, the iPhone maker's year-over-year sales still grew by 8%.
Other stories we recently wrote about Apple:
Recently, the Apple AI Summit, the company's first in-person event after three years, was confirmed. The gadget maker also plans to launch its Apple Pay in South Korea.
For more news updates about Apple and other business tech topics, always keep your tabs open here at TechTimes.
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