Apparently Apple is expanding cost-cutting measures to face the period of difficulty that the whole tech sector is going through. According to what he reports BloombergApple, which has remained one of the very few (at least among the “big” ones) that has not announced mass layoffs, has decided to:
- Extend it hiring stop to multiple departments. Apple implemented the hiring freeze practice last year; essentially, the idea is not to replace people who quit with new income.
- Change the methods by which they are given i bonuses. From the previous semi-annual payment, in October and April, we will switch to a single annual payment, in October. It should be noted that the overall figure always remains the same, only that instead of in two tranches it will arrive all at once, and that some divisions have already been adopting the annual cadence for some time. Since April is now around the corner, we can say that for some employees the bonuses will be postponed, in short.
- Change how they come promoted the employees. Here too, we will move from a semi-annual cycle to an annual one, with the same months as the promotions.
- Reduce budgets for managers, especially those related to travel and material/equipment purchases. Larger expenditures must be approved by a SVP (Senior Vice President), essentially the executives immediately below CEO Tim Cook.
Apple, which is the company with the largest capitalization in the world, already announced several months ago the beginning of a period of prudence and cost optimization. For now, we said, there have not been mass layoffs, as happened for example at Meta, Amazon or Google, but working relationships with external and temporary collaborators have actually been interrupted. In this regard, it should be noted that Apple was more careful with new hires in the initial stages of the pandemic than its competitors.