How Apple became the “exception” to mass layoffs by big tech
Global growth is slowing sharply this year due to rising interest rates. These are the predictions of the international groups, and many Wall Street companies already know that this will bring lower sales and lower income.
To solve this problem, American tech giants have almost unanimously adopted the same strategy: reduce costs.
Companies like Microsoft, Google, Amazon, Tesla, Facebook, and Nvidia are cutting tens of thousands of jobs at once.
The list of tech companies that have cut jobs, albeit for their own reasons, also includes Stripe, Snap, Netflix, Coinbase, Robinhood, Peloton, Lyft, and many others that were part of the tech boom that peaked during the pandemic
However, in the midst of the storm, Apple has been the exception to the massive layoffs that are taking place in the industry.
Caution during the pandemic
After more cautious growth, Apple has so far avoided major layoffs and investment cuts.
Analysts agree that it is in a different position than its competition because it is more strategic for growth, better prepared for a possible recession.
Between September 2021 and September 2022, the company only hired 10,000 new employees, increasing the workforce from 154,000 to 164,000 full-time workers, according to filings with the US Securities and Exchange Commission (SEC). This being a much smaller amount than what Amazon, Meta and Google hired.
More services, less hardware
Another reason why Apple remains afloat is its commitment to service and quality products compared to other branches of the company that are more focused on hardware.
The world’s most valuable stocks symbolize many of the challenges and opportunities facing big tech companies today. There’s been a big shift from hardware to services like Apple Pay and Apple Music.
This has doubled as a proportion of its revenue in recent years, leading to significant improvement in margins, which in turn has helped it maintain above-market value, unlike many of its competition. .
offshoring
Apple has drastically reduced its overreliance on China in its supply chain, as rising US-China tensions could affect revenue or profits for US tech companies that have production capacity in the Asian giant.
Apple’s long-term goal is to move 40-45% of iPhone assembly to India, up from the current single-digit percentage and 25% by 2025.
Finally, it should be remembered that Apple CEO Tim Cook recently took a 40% pay cut after only 64% of shareholders voted to approve last year’s compensation plan.
Read More5 Consumer Trends Brands Should Consider
Brands have a responsibility to anticipate the frantic changes of consumers who are always looking for something new.
Consumer trends are the compass that sets the pace for brands.
We tell you more about consumer trends and how they’re affecting brands in a report that breaks down the brands that will become key spenders in the coming years.
1. Dominant thought “I”
64% of Generation Z youth are convinced that consumers have put the interests of society above their own interests in recent years. They believe they have lost two years of their lives to the coronavirus pandemic. To that end, and to make up for lost time, consumers will eagerly embrace a new wave of activity in the coming years that demands personalized products and services from brands.
2. Empower the people
Consumers want to be able to take a more active role and want to work with brands to change lighting. For example, consumers believe that direct-to-consumer companies have a much better relationship with their customers than traditional companies, while consumers perceive influencer marketing as particularly customer-oriented.
So it seems obvious that brands that are inexorably compelled to listen, respond, and innovate should strive to create models where consumers can actively help drive change.
3. The great exhaustion
Consumers associate one crisis after another. Pandemics, the war in Ukraine, the energy crisis and climate change have taken their toll. Also, consumers feel tired and overwhelmed.
With the crisis coming from all directions, consumers want to focus on what really matters and are showing increased interest in philanthropic initiatives and community-focused projects. Consumers want to regain control of their lives and look to brands for support.
4.Change from global to local
In an environment burdened by global uncertainty, consumers are once again turning to local sources. Growing consumer engagement with local businesses is a holdover from the pandemic, but also proof that their behavior has changed over the long term.
By purchasing regional products, consumers protect themselves economically, ecologically and psychologically, while also feeling that they are giving back to the communities in which they live.
5. Conscious consumption
In today’s challenging economic climate, consumers want to make informed financial decisions without compromising their quality of life. For this reason, factors such as flexibility, durability and sustainability are becoming increasingly important in terms of consumer value.
People don’t just want to buy less, they want more durable and timeless items that can be used in multiple situations.
Read More10 technological professions with the best job future
Architects and technology administrators ‘in the Cloud’, cybersecurity experts and data analysts are the three job profiles most in demand during 2023, with high salaries, according to forecasts by Randstad Technologies (RT), an area of the Randstad firm specialized in human resources in the new technologies sector.
These positions have high employability, since “there is a certain shortage of talent”, that is, employers cannot easily find qualified professionals for these positions, which means that they are jobs with salary bands above the market, according to RT ( www.randstad.es/empresas/soluciones/consultoria-tecnologica).
RT’s forecasts on the main trends in the technology sector for 2023 highlight that this year there will be a great demand for a series of job positions, by companies from different sectors, regardless of the geographical location of said companies, due to the great implementation of teleworking.
The forecasts of the RT report on the most demanded IT Profiles (information and communication technologies) are applicable, “with certain nuances”, both to Spain and to the countries of America”, according to EFE, Jorge González, national director, explains. from Randstad Technologies, in Spain.
“The profiles and technologies are convergent, they coincide. However, in North America the shortage of talent is greater, while in LATAM there is a lot of ‘offshoring’ service,” says González, referring to the process by which a company transfers part of its production and business activities to another country through of outsourcing.
In this context, the RT spokesman gives as an example of ‘offshoring’ the case of clients in the Iberian Peninsula or in the United States, who hire local companies (that is, from LATAM), as a solution to cost problems and “shortage of talent” (the lack of professionals with the required skills and abilities).
“Looking ahead to 2023, companies need to improve their financial efficiency in the face of challenges such as the price crisis, instability, the rise in financing costs or the economic slowdown, challenges that focus on productivity,” according to González.
He adds that “this leads to transformation and digitization continuing to be at the center of business strategies, so the competition for talent will continue to be crucial”, increasing, according to RT, the demand for the following technological job profiles:
1.- TECHNOLOGY PROFESSIONAL ‘IN THE CLOUD’.
Cloud technology architects and managers design and manage organizations’ traditional IT systems in new cloud environments, which allow remote access to programs, file storage and data processing hosted on the Internet, as an alternative to its execution on local computers or servers.
2.- CYBERSECURITY EXPERT.
They are professionals, with high technical knowledge in technological infrastructure and information security, capable of protecting companies’ systems and networks, software, data and IT systems. They were specialists in high demand before the crisis, and teleworking has increased the demand for these technological profiles, according to RT.
3.- DATA ANALYST.
They are dedicated to transforming large amounts of raw data into organized and usable information, being able to also work with said data to create information models that make it possible to predict what is going to happen, in a certain area. His analysis and interpretation of data and prediction skills are highly appreciated, highlights RT.
4.- ‘FULLSTACK’ DEVELOPER.
The ‘Full Stack’ covers aspects related to the creation and maintenance of an application or website, such as its design, programming, architecture and user interface. Its developers are versatile professionals with high technical knowledge and experience, who develop software in technological fields called ‘Front End’ and ‘Back End’.
5.- SOFTWARE DEVELOPER.
Professionals with this type of technological job profile, whose main activity consists of developing computer programs, require training in different programming languages and may be required for many types of projects, according to Randstad Technologies forecasts.
6.- ‘DEVOPS’ DEVELOPERS.
The ‘DevOps’ is a set of practices that involve the development of ‘software’ and the optimization of the use and coordination of processes and technological and human resources of a company or organization. Its developers are in charge of designing and executing this technology, in close alignment with the operational objectives of organizations, according to RT.
7.- QA ANALYST.
Professionals with this type of profile are responsible for ensuring the quality of the software and preventing possible and