Apple fires 100 contract employees to cut costs

Tech giant Apple has laid off about 100 contract-based recruiters in an effort to slow hiring and spending. According to a report, Apple is still keeping its full-time recruiters on board. The terminated contractors will receive benefits and pay for two more weeks.

Apple CEO Tim Cook said, “We do see inflation in our cost structure. We see it in things like logistics and wages and certain silicon components. And we’re still hiring, but we’re doing it on a deliberate basis.”

As per the report, Apple is making changes to its current business needs, which is the major reason for the layoffs. Also, the Cupertino, California-based tech company had said that it would stride cautiously on its spending plans.

Other tech giants, including Microsoft, Amazon, Meta, Tesla, and Oracle, have all slowed hiring or cut back on some departments in recent months as they struggle with inflation and tighten their belts ahead of a potential economic downturn.

Microsoft too had recently laid off more than 2,000 employees, while Google had announced that it would slow down its hiring process. Other companies, like Netflix, Shopify, Coinbase, Alibaba, and Robinhood, too fired some of their workers recently.