News: Chinese smartphone maker Xiaomi to slash 15% of workforce

Employee Relations

Chinese smartphone maker Xiaomi to slash 15% of workforce

Hit by Covid 19 induced lockdown and lean consumer demand, Xiaomi’s revenue in the third quarter declined by 9.7%.
Chinese smartphone maker Xiaomi to slash 15% of workforce

China-based smartphone maker Xiaomi has reportedly started reducing its workforce. According to the report, Xiaomi is letting go its smartphone and internet services business workforce. However, any official statement is yet to be released by the company.

Citing the posts by affected employees on social media such as Weibo, Xiaohongshu and Maimai, the South China Morning Post reported the development.

The report further added that people who have been fired were among those who joined the company during a hiring spree that began last December. Out of a total 35,314 workforce, more than 32,000 are in mainland China. Xiaomi India also hired 305 freshers from 100 business schools across multiple verticals like sales, marketing, and supply chain under its program ''Mission 300''.

Hit by Covid 19 induced lockdown and lean consumer demand, Xiaomi’s revenue in the third quarter declined by 9.7%. The brand reported an 11% decline in its year-on-year sale in its smartphone revenue which contributed around 60 % of its total sales.

The global labour market has been hit hard due to a significant increase in layoffs in 2022 in the tech sector. The job cut has turned out to be one of the biggest crises that hit the world on the sidelines of the 2019 global health emergency. Around 50 enterprises laid off more than 90,000 staff globally.

Some of the companies that laid off staff globally include Meta, Amazon, Alibaba, Credit Suisse, Cineplex, Tencent, Better.com, Twitter, Ford, Byju's, and Blinkit.

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Topics: Employee Relations, Strategic HR

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