Apple is implementing a number of changes across the company as it scrutinizes budgets and reviews spending. Bloomberg reports that Apple is delaying bonuses for some teams, freezing hiring across more departments, and more.
While tech giants like Amazon, Google, and Meta have laid off thousands of employees recently, Apple so far has avoided doing so. Instead, the company has looked at other ways to cut costs amid economic uncertainty, with Apple CEO Tim Cook calling layoffs a “last resort kind of thing.”
Today’s report from Bloomberg details new efforts Apple is implementing as it looks to further curb costs across the company. One of those changes is a shift to the schedule of employee bonuses, which will primarily impact operations, corporate retail, and select other groups inside the company:
In the past, Apple typically doled out bonuses and promotions once or twice per year depending on the division. The twice-a-year teams usually saw that happen in April and October. Under the new plan, that group won’t see bonuses or promotions next month, and all divisions will move to an annual schedule — with the payments occurring only in October.
The move applies to engineers and other non-managers as well as mid-level managers, but not senior employees at the director level and above. Apple’s highest-ranking employees typically see their bonuses paid quarterly.
“Employees are still slated to receive their full bonuses, just in one installment rather than two,” the report points out. Still, “the change could come as a blow to staff” as Apple didn’t provide much advance notice.
Additionally, Bloomberg reports that Apple has reduced travel budgets for many teams and is now requiring “senior vice president approval for more budget items.”
Apple is also reportedly cracking on remote work by closely monitoring how often employees are coming into the office versus working remotely:
In addition to trimming costs, Apple’s human-resources department has been taking a closer look at how often employees come to the office. The company’s current policy requires employees to work from an Apple building three times per week — a policy that was contentious when imposed last year. Some staffers are now worried that the increased scrutiny on office attendance is a precursor to the company firing workers who don’t meet the three-days-a-week threshold.
Despite these cost-cutting measures, however, Apple has still avoided any layoffs within the company (although it has laid off some contractors). Meta, meanwhile, announced today that it is laying off another 10,000 workers, its second such round of massive job cuts.
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