Apple CEO Tim Cook has confirmed that the company is not planning any major layoffs despite cost-cutting measures being implemented. In contrast to other tech giants like Alphabet, Microsoft, and Meta which have cut thousands of employees this year, Apple views layoffs a last resort.
“I view that as a last resort and, so, mass layoffs is not something that we’re talking about at this moment,” said Cook in an interview given to CNBC.
He added that Apple is being extremely prudent on hiring, with a slower rate of hiring than before. He stated that the company is doing all the right things to challenge its spending and find ways to save on costs. While Cook didn’t completely rule out the possibility of job cuts, he asserted that Apple has no plans for any such move at the moment.
“We’re continuing to be extremely prudent on hiring. We’re continuing to hire, just at a lower clip level than we were before,” he said. “And we’re doing all the right things of challenging the things that we spend, and we’re just finding a few more ways to save on it.”
At the time when major rival companies were making significant job cuts in response to post-covid turmoil and uncertain economic conditions, Apple was able to successfully mitigate layoffs through its measured approach to hiring and other cost-cutting measures during the pandemic. Reportedly, the company paused hiring, delayed bonuses and had put major projects on hold.
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The technology giant consciously stayed away from overhiring staff during pandemic which is one the prime reasons for mass layoffs. It did conservative hiring between 2020 and 2022. These efforts seem to have worked for the company, which reported total revenue of $95 billion during its March quarter earnings report.
