Apple even cut its HR staff... Employment booming here
Face-to-face industry employment vitalized by the pandemic
Tech companies reduce new hires in preparation for recession
|Apple logo on the building|
Employment in the face-to-face service sector, which had subsided after the COVID-19 pandemic (pandemic), is showing signs of revitalization. This is in contrast to the situation in which tech companies (tech companies) such as Apple are passive in hiring new employees or even firing HR managers.
The Wall Street Journal reported on the 16th (local time) that employment in the face-to-face industry, which suffered from a manpower shortage for more than two years after the pandemic, is gradually recovering. While job seekers still have an edge over employers in the job market, business officials say the worst is coming to an end.
Bill Hornbuckle, CEO of MGM Resorts International, a casino and resort operator, told the newspaper, "It is difficult to hire some positions, such as cooks, but you don't have to rush around anymore." Employment increased and the turnover rate decreased at HCA Healthcare, a medical facility operator, and Uber, a ride-sharing service provider, who had difficulties finding medical personnel such as nurses.
Also check out
Experts and companies analyze that growing concerns about a recession are creating incentives for some workers to continue working in their existing jobs. Nick Bunker, an economist at the job search platform Indeed, said: “Those who are looking for a job right now are willing to work. That's why we're getting more employees," he told The Wall Street Journal. “The job bottleneck is easing,” said Vladi Taska, chief economist at labor market analysis firm Lightcast.
In fact, last month's U.S. employment indicators showed such a change in the job market. According to the employment situation report released by the U.S. Department of Labor in July, nonfarm payroll jobs increased by 528,000, the largest increase in five months. The unemployment rate also returned to the pre-pandemic level at 3.5%, the same as in February 2020. A number that far exceeded the market's expectations was announced, and the market was expecting an inflation peak-out.
But tech companies are still tightening their hiring belts. On the 16th, Bloomberg News reported that Apple had recently laid off about 100 HR managers who worked as contract workers. They have been in charge of recruiting new employees, and have been informed by Apple that the number of staff reductions is due to changes in the business environment. Bloomberg said the decision shows Apple's hiring is slowing.
Apple isn't the only tech company to cut staff. Twitter laid off 30% of its HR department last month, following a freeze on new hires. Netflix laid off about 150 employees in May, and Microsoft also cut about 1800 employees last month in the process of reorganization.