Apple slows down hiring: fires 100 contract workers last week

According to reports, Apple last week fired many people who work for the company as contract staff. The report claims that the layoff is necessary in order to reduce the scale of recruitment and expenditure. It’s a rare move for the world’s largest company by market capitalization. About 100 contract workers were fired this time. Recruiters are tasked with recruiting new employees for Apple, a move that shows the company is experiencing a slowdown in growth. There are changes in Apple’s business needs and this is the main reason for the layoff of employees. Reports from last month reveal that Apple is slowing hiring after years of headcount expansion. At the same time, many tech companies are also tightening their hiring policies.

Apple slows down hiring: fires 100 contract workers last week

Apple CEO, Tim Cook confirmed on an earnings call that while the company will continue to invest in some areas, it may be more “cautious” about spending.

“We think it’s time to invest in a down cycle,” Cook told analysts. “So we’re also hiring and investing in some areas, but realistically, we’ll be more cautious.”

The company is still hiring full-time recruits, and the layoffs don’t affect all recruiters who work for the company as contract workers.

Apple slows down hiring but is not the only tech giant cutting jobs

Apple currently employs more than 150,000 people, but it rarely makes layoffs. It’s not the only tech giant to cut jobs, though. Meta, Tesla, Microsoft, Amazon and Oracle have all laid-off workers in recent months amid slowing growth in tech spending.

Apple told the laid-off contract workers that they would receive two weeks of pay and medical benefits. The layoffs involve multiple locations, including Apple’s branches in Texas and Singapore. Apple previously carried out mass layoffs of contract workers in Cork, Ireland in 2019. They hired hundreds of contract workers to improve the product by listening to recorded Siri conversations. But the project was later scaled back due to privacy concerns. The company also laid off contract workers at its headquarters campus in 2015.

Like many companies, Apple hires contract workers for technical support and customer service. They also use contract labour to localize products and improve mapping services. Contract workers often have fewer benefits and protections than full-time employees.

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