Apple cutting costs with bonus payment changes, hiring freeze
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Apple's efforts to cut costs has led it to extend its hiring freeze into more areas, a report claims, as well as making changes to how it doles out promotions and bonuses to employees.
While other major names in tech are performing mass layoffs, such as Meta's massive offloading of staff, Apple has tried to minimize how many people it lets go. Though it has worked so far, the iPhone maker seems to be preparing to take more steps to reduce its outlay.
According to a number of people with knowledge of the situation speaking to Bloomberg, Apple is expanding its cost-cutting efforts in a number of ways.
One way to streamline finances that the company plans is to cut down on the number of times a year it performs bonus payouts from twice a year to just once. While this will vary between divisions, the trend will be eliminating the April payment in favor of just an October one.
Despite reducing the number of payment instances, employees are still expected to get their full bonus entitlement for the year.
Along with bonus changes, Apple is also going to refine its existing policies over a hiring freeze. Apple has already been slowing down its hiring practices since 2022, with the company deciding to leave positions unfilled when employees exit to reduce the headcount.
Under Tuesday's report, it seems the policy will now apply to more areas of the company, and therefore more jobs.
At the time of the November reports, an Apple spokesperson insisted the company was continuing to hire but was taking a "very deliberate approach in some parts of the business."