Heres Why Apple Hasnt Had To Slash Jobs Like Almost Every Other Tech Company

Most tech companies have experienced significant hiring growth during the pandemic. Now that things have calmed down, thousands of people have lost their jobs to control their spending. Apple is one of the few to avoid layoffs. And a new report from Bloomberg examines what Apple has done differently over the past few years to deal with difficult macro environments without laying off employees.

Different recruitment process

One of the major decisions will be how Apple will hire new employees during the pandemic. While companies like Amazon, Meta, and Salesforce doubled their workforce from 2019 to 2022, achieving nearly 100% headcount growth, Apple only grew its workforce by 20%.

Even the 60 percent increase in hiring at Alphabet, Google's parent company, is looking unsustainable. According to Bloomberg, Alphabet and Amazon recently laid off nearly 30,000 workers. Meanwhile, Zoom has announced that it will lay off 15 percent of its global workforce.

In the year Apple has slowed its hiring pace by the end of 2022, and some see it as a hiring freeze. But even here he managed to avoid dismissal.

Sales for an additional number of employees

A second reason for Apple's layoffs reflects the company's efficiency and profitability in all areas of its operations. According to Bloomberg data, Apple has more than doubled its revenue per employee over the past six years, a rare feat.

In the year Looking at 2017-2019, Apple's earnings per employee were $1.17 million, which is comparable to Alphabet and Microsoft.

Then, from 2020 to 2022, that number more than doubled to $2.51 million as he was more careful in recruiting while increasing his profits. Meanwhile, for most large tech companies, this metric has either decreased or increased.

Apple's strong underlying business and expertise are key components of its high revenue growth per head count. But combining this highly profitable business with the slowest hiring growth in recent years sets the scale apart from other tech giants.

Speaking to Bloomberg, Credit Suisse Group AG analyst Shannon Cross explained the bigger picture for Apple: "It's about managing and investing shareholder dollars with a strong focus on growth opportunities."

Although Apple missed its holiday earnings thanks to weaker-than-expected iPhone sales, Apple's quarterly loss was a better performance than other companies. Almost $30 billion profit on $117 billion sales in 3 months...!

Apple is celebrating passing 2 billion active Apple devices and setting a new record for services revenue.

FTC: We use automated links to generate income. one more time