Apple Cuts Manpower Despite Profitable EarningsBy Brian - 04/26/2009 4:00:08 PM |
It was perhaps management decision and getting ready for the worst. When a company seems to be doing well it just doesn’t follow that employees are safe from being laid off. That is the scenario for Apple which had reported positive revenue for the second quarter of the year.
For its fiscal 2009 second quarter ended March 28, 2009 the company posted revenue of $8.16 billion and a net quarterly profit of $1.21 billion. These results compare to revenue of $7.51 billion and net quarterly profit of $1.05 billion at the end of the same quarter a year ago.
However, just because the books are shining, doesn’t mean all is well within the company. Apple reported that it employed 14,000 full-time equivalents, down from 15,600 at the end of 2008. While most are claiming that the company is cutting 1,600 people, Apple said is counting man-hours as opposed to actual men. This fits in with old reports that the company was planning to reduce the number of hours worked by part-time employees in an effort to save money without making cuts. The company was apparently reducing hours for part-timers and giving more to full-time workers.
While it’s a little bit surprising given the fact that we just heard how well the company is doing, at the end of the day, it makes a lot of sense. It wasn’t sales of computers that gave Apple its recession-beating numbers this quarter. In fact, sales of Mac 2.22 million desktops and notebooks is a 3 percent decline from a year ago. While iPods were up 3 percent, selling an impressive 11.01 million during the quarter. The real growth came from the iPhone, selling 3.79 million, representing 123 percent unit growth over the year-ago quarter.
If people are buying iPhones from their cell phone provider and iPods from Best Buy or, well, pretty much anywhere, there’s no point employing all those people to just sell computers.
(Source) Toms Guide
Related posts:
- Iphone helps Apple’s Profit’s Soar to New Heights Apple today announced financial results for its fiscal 2007 fourth...
- Apple Brags About iPhone 3G and Mac Sales in Financial Q4 It looks like Apple number for the financial fourth quarter...
- New Products from Apple, Possibly a MacBook Touch Like everyone else, Apple posted their earnings for the last...
- Apple reports second quarter profits of $1.21 billion It seems that AT&T aren’t the only ones making it...
- Apple Starts Its Billion App Countdown While everyone else is trying to get their own app...
Tags: cell phone provider, desktops, iPhone, iphones, ipods, management decision, recession, time employees

