Amid Big Tech companies like Amazon, Meta and Microsoft announcing job cuts running into thousands, Apple is yet to do so and may not plan to terminate employees as it never hired at the pace at which other tech giants did, say analysts.
According to Wedbush tech analyst Dan Ives, Apple CEO Tim Cook, who has taken a hefty salary cut by more than 40 per cent in 2023, didn’t overhire during the pandemic, says a report by Yahoo Finance.
“Apple never hired at the pace of these other tech giants. You’ll see cost-cutting around the edges, but Cupertino — I mean, they’re tacticians… I think it just shows why Cook is a Hall of Fame CEO,” Ives was quoted as saying by the Yahoo Finance report.
“I think he’s able to navigate another situation here in terms of not needing to do the layoffs that other tech firms have done,” the analysts further said.
Apple’s employee count went up by about 7 per cent in 2022 compared to 2021. Cook has already taken a huge pay cut of $35 million, or more than 40 per cent of his compensation.
According to a new regulatory filing in the US Securities Exchange Commission (SEC), Cook’s pay will drop from $84 million in 2022 to $49 million in 2023, at his own recommendation. Like many other tech companies, Apple has also been hit by supply chain issues. Its manufacturing in China has taken a hit due to a fresh wave of Covid infections in the only major economy combating such a crisis.
All eyes are now on Apple’s quarterly results on February 2. As per the data by layoffs tracking site Layoffs.fyi, 219 companies have laid off more than 68,000 employees in January so far.
To recall, earlier this month, Apple slashed its Chief Executive Officer Tim Cook’s pay package by more than 40 per cent to $49 million in 2023. The iPhone maker cited the investor guidance and a request from the chief executive to adjust his pay, reported news agency Bloomberg.
In 2022, Cook received compensation of $99.4 million, including $3 million in base salary, about $83 million in stock awards, and a bonus. In 2021, his total pay package was lesser as he received $98.7 million.
