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Apple Inc. is cutting a small number of positions from its retail teams, according to people familiar with the matter, marking its first known internal job cuts since it embarked on a belt-tightening effort last year. Read here: Steve Jobs's daughter laughed at the iPhone 14. Now she says she "can't live without it" The company is cutting positions in what it calls its development and preservation teams, said the people, who asked not to be named because the move was not announced. These groups are responsible for building and maintaining Apple's retail stores and other facilities around the world.
While the number of jobs cut could not be determined and is likely to be very small, the move represents another milestone for the world's most valuable company, whose peers have thinned their ranks amid a shaky economy and sluggish consumer spending.
Apple is positioning the move as a rationalization effort rather than layoffs. He told employees that the changes were designed to improve store maintenance globally and that the company would provide support to affected workers.
The iPhone maker has largely delayed corporate layoffs, even as it slashes budgets and cuts much of its contractor workforce, including engineers, recruiters and security. The company previously cut corporate jobs ahead of the pandemic, when it laid off a few hundred people from its self-driving car division.
With the latest decision, Apple told employees in these groups that they would have the opportunity to apply for a number of roles similar to their previous jobs. Those who do not accept new positions will receive up to four months' salary, the people said.
A representative for Cupertino, California-based Apple declined to comment.
Some management positions are also being eliminated. While those employees could be rehired as so-called individual contributors, they may not have the same compensation, the people say. In some cases, some employees are exempt and will keep their jobs without having to reapply.
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Apple had 164,000 employees in September, at the end of its last fiscal year. The company hasn't expanded its workforce as quickly as many big tech companies during the pandemic, reducing the need for major layoffs. Its peers, including Amazon.com Inc. and Alphabet Inc.'s Google, have cut tens of thousands of jobs.
