Stefan Mileschin

Can't afford new staff

The company which has more money than it knows what to do with, is not hiring any more people to take money from those with more money than sense.

According to Bloomberg, Apple will cut back on hiring for some divisions after selling fewer iPhones than expected and missing its revenue forecast for the holiday quarter.

Tim Cook, Apple’s chief executive officer told the employees earlier this month in a meeting the day after he penned a letter to investors about the company’s recent struggles, particularly in China.

During the meeting, Cook was asked if the company would impose a hiring freeze in response. He said he didn’t believe that was the solution. Instead, Cook said some divisions would reduce hiring.

Cook said he is yet to fully determine which divisions would cut back on hiring, but said that key groups such as Apple’s artificial intelligence team would continue to add new employees at a strong pace. He also emphasised that a division’s importance to Apple’s future isn’t measured by hiring rates.

Apple has been on a hiring spree in the past decade, but the pace of headcount growth has slowed in recent years. The company added about 9,000 workers in its most-recent fiscal year for a total of 132,000.

Apple shares slipped less than one percent in extended trading on Wednesday. The hiring pullback won’t affect plans to open new offices in Austin, Texas, nor expand in the Los Angeles area, where Apple is building out its original video content team, the CEO also said.

Apple senior vice presidents held separate meetings with vice presidents, senior directors and other managers in their groups to emphasise that the iPhone sales slowdown is an opportunity for new innovation. Looks like some of them have caught up with their Fudzilla reading.

https://fudzilla.com/news/mobile/479...plans-lay-offs