By Barbara Kollmeyer
An economic slowdown is encroaching on tech giant Apple Inc., which has reportedly laid off 100 contract workers in charge of recruiting.
Those made redundant — across several regions — were informed Apple /zigman2/quotes/202934861/composite AAPL +3.08% needed to make adjustments for its current business climate, according to a Bloomberg report on Tuesday that cited sources close to the company. Not all of its contract workers were let go, and full-time employees involved in recruiting are being retained, the report said.
A representative for Apple didn’t immediately respond to a request for comment by MarketWatch.
Ahead of Apple’s latest quarterly results, Bloomberg last month flagged plans by the tech group to curb hiring and spending to account for an economic downturn. In its June quarter, Apple said it saw continued revenue growth , though slowing Mac sales, along with macro hits to wearables, home and accessories.
Asked on the June 28 earnings call how the company was preparing for economic uncertainties, Chief Executive Officer Tim Cook said Apple “believes in investing through the downturn. And so we’ll continue to hire people and invest in areas, but we are being more deliberate in doing so in recognition of the realities of the environment.”
If reports of layoffs are true, Apple will be joining a host of other Big Tech companies looking to cut costs amid an economic slowdown, with chief executives at Meta Platforms Inc. /zigman2/quotes/205064656/composite META +2.16% and Alphabet Inc.’s /zigman2/quotes/202490156/lastsale GOOGL +3.13% Google warning employees of difficult times ahead, and a slowdown in hiring at Microsoft Corp /zigman2/quotes/207732364/composite MSFT +3.37% .
And: Tech companies are shifting to layoffs after a huge ramp up in hiring
Shares of Apple, down 2.7% year to date, closed flat at $173.16 a share on Monday.