Last updated on April 8th, 2024 at 12:15 pm

Tech firm reduces staff across eight Santa Clara offices in its initial major round of post-pandemic layoffs

Apple is cutting over 600 jobs in California, marking its initial significant post-pandemic workforce reduction amid broader tech industry consolidation.

The company informed 614 employees across multiple offices on March 28 that their positions were being eliminated, effective May 27, as reported to regional authorities.

These layoffs affected workers from eight Santa Clara offices, according to filings under the state’s Worker Adjustment and Retraining Notification Act (Warn). However, the specific departments or projects impacted by these layoffs remain unclear.

In February, Apple scrapped its multibillion-dollar electric car project. At that time, executives reportedly informed employees that the company was reallocating its resources to focus on artificial intelligence programs, hinting at potential layoffs.

Apple’s electric vehicle program initially aimed to create a fully autonomous car but faced continual plan changes, staff turnover, and missed deadlines, resulting in the failure to develop a viable product. Despite this, the company’s decision to completely shut down the program came as a surprise to employees, as reported by Bloomberg.

As of early Friday, Apple had not responded to requests for comment.

Unlike many other tech firms that reduced their workforces over the past two years, the Cupertino-based company had been a notable exception. The surge in online activity and spending during the Covid-19 pandemic led to significant hiring, leaving major tech firms larger than they were before the pandemic. However, with growth slowing, companies are now focusing on cost-cutting measures.

In a recent regulatory filing, Apple disclosed that it had approximately 161,000 full-time equivalent employees.

Amazon recently announced another round of layoffs, this time affecting its cloud computing business AWS. Other companies have also announced workforce reductions, including video game maker Electronic Arts, which is cutting about 5% of its workforce, Sony’s PlayStation division, which is eliminating about 900 jobs, Cisco Systems, which plans to lay off more than 4,000 workers, and Snap, the parent company of Snapchat, which is slashing 10% of its global workforce.