Apple Layoffs: What It Means for Tech Employees
What is the Reason for Apple’s layoff ?
Apple recently laid off around 100 employees, an unusual move for the tech giant, which typically avoids large-scale layoffs. While other tech companies like Microsoft, Alphabet, Meta, Amazon, and Intel have implemented significant layoffs during the pandemic and beyond, Apple has managed to largely avoid following suit.
Apple’s conservative hiring practices allowed it to maintain stability throughout challenging times. By avoiding mass layoffs, the company has positioned itself as more responsible and resilient compared to its rivals, which suffered reputational damage. While others downsized significantly, Apple’s approach enabled it to sidestep such challenges.
Despite avoiding mass layoffs, Apple has not entirely escaped workforce reductions. These instances, however, have been smaller and framed as routine streamlining efforts. For instance, in early 2023, Apple laid off a small number of retail employees.
Who Were the Latest Employees Affected?
According to Bloomberg, Apple notified approximately 100 employees within its digital services group that they would be let go. These employees worked across various teams under Senior Vice President Eddy Cue’s services division. This marks a rare departure from Apple’s usual strategy of minimizing workforce reductions, even in tough economic times.
How Has Apple’s Approach Differed Historically?
Apple has consistently taken a different approach to economic downturns compared to many of its competitors. During a major recession, Steve Jobs famously emphasized Apple’s commitment to investing through economic challenges rather than cutting its workforce. Jobs pointed out that after significant efforts to bring talent into Apple, layoffs were not an option. Instead, the company would continue to invest in research and development (R&D) to outpace competitors once the economy recovered—a strategy that worked in the past and continues to shape Apple’s decisions.
Are You Facing Job Loss as an Apple Employee?
If you’re a non-unionized Apple employee in Canada and have been affected by restructuring or downsizing, you may be eligible for a full severance package. The amount of severance you could receive depends on your specific circumstances, with potential compensation extending up to 24 months’ pay. In Ontario, larger layoffs involving 50 or more employees might result in enhanced severance payouts.
At Whitten & Lublin, our skilled employment lawyers are here to assist you during this challenging time. We’ll guide you through your legal rights and ensure you secure the severance pay you’re entitled to. If you’ve been impacted by recent layoffs in Canada, contact us for a consultation through our online portal or by calling (416) 640-2667.