Major Tech Layoffs Continue as HP and Apple Announce Job Cuts
The technology sector is witnessing another wave of workforce reductions as two industry giants, HP and Apple, announced significant job cuts this week. This development highlights the ongoing cost-cutting measures and restructuring initiatives sweeping through the global tech industry.
HP's Strategic Restructuring: Up to 6,000 Positions Eliminated
On Tuesday, November 25, HP Inc. revealed plans to cut between 4,000 to 6,000 jobs worldwide by 2028. The Palo Alto-based technology company stated this move aligns with its broader strategy to streamline operations and embrace artificial intelligence technologies.
According to HP CEO Enrique Lores, the layoffs will primarily impact teams working in product development, internal operations, and customer support. During a media briefing, Lores emphasized that this restructuring is designed to accelerate product development, boost productivity, and enhance customer satisfaction through increased AI integration.
The company expects these measures to generate approximately $1 billion in gross run rate savings over the next three years. This announcement comes after HP already eliminated over 2,000 positions earlier this year as part of its previously announced restructuring plan.
Apple's Quiet Workforce Reduction
Similarly, on Tuesday, reports emerged that Apple Inc. has eliminated dozens of sales positions as part of efforts to streamline its product offerings for businesses, educational institutions, and government agencies. The latest round of layoffs at Apple specifically targeted account managers and staff responsible for handling Apple's briefing centers for institutional meetings and product demonstrations.
According to a Bloomberg report, Apple confirmed the organizational changes, stating they are intended to improve customer connections. The company has indicated that affected employees will have the opportunity to apply for new roles within Apple.
Apple reportedly notified impacted workers over the past few weeks, with the job cuts affecting various parts of the sales organization. Some teams experienced more significant reductions than others, though Apple has declined to disclose the exact number of employees affected.
This development comes at a time when Apple's revenue continues to grow, with projections indicating the company could achieve $140 billion in sales during the December quarter. Notably, in October, Apple reached a $4 trillion market valuation for the first time, becoming only the third technology company to achieve this milestone.
Broader Tech Industry Trends
These latest job cuts occur against the backdrop of widespread workforce reductions across the technology sector. According to data from layoff.fyi, October saw 21 companies lay off 18,510 employees, with Amazon announcing plans to eliminate over 14,000 corporate positions.
The e-commerce giant stated these cuts are part of efforts to create a leaner, less bureaucratic organization while increasing investments in artificial intelligence. If implemented, this would represent the largest corporate job reduction in Amazon's history.
So far in November, 20 technology companies have laid off 4,545 employees. The most significant reductions this month came from chip-design software maker Synopsys, which cut approximately 2,000 positions, representing nearly 10% of its workforce. A regulatory filing revealed the company is redirecting investments toward growth opportunities.
Industry analysts note that while Apple typically views layoffs as a last resort compared to other tech giants like Google, Amazon, or Meta, the current moves appear to be part of a strategic shift toward transferring more sales to third-party resellers, which the company refers to as 'channels.' This approach allows companies to reduce internal costs, including salaries.
Year-to-date statistics reveal the staggering scale of tech industry layoffs, with 237 technology companies having eliminated 1,114,124 positions so far this year, signaling a significant transformation in how technology companies are structuring their operations and workforce in response to economic pressures and technological shifts.
