Apple has been experiencing a decline in sales in China. Due to this, many Apple employees have been affected by this drop in revenue of the company. Here’s what we know about this development.

According to South China Morning Post, the demand of iPhones has dropped and with it, Apple supplier Foxconn has also cut their production. The lesser production not only meant less iPhone smartphones, but also reduced the benefits of Apple workers working for factories making the Cupertino tech giant’s devices. Shuttle buses normally used by workers to get to the factory have also been dropped due to the changing demand. Moreover, many salaries were cut due to these dropping demand for iPhone devices.

Moreover, Foxconn confirmed that the loss of employees in their company is through resignation and not termination. The resignations stemmed from the company’s overtime opportunities not being enough. Due to a large portion of Foxconn workforce leaving, the company confirmed that it’ll be putting up 50,000 job posting throughout their factories to solve this issue on their end. Foxconn noted that 2019 has been a difficult year for them and cuts will have to be made in form of salary reductions and other company expense reductions.

Foxconn is actually a well-connected company that’s working with many technology giants such as Amazon, Microsoft, Google, Nintendo, Apple, and other companies. However, Apple has such a huge chunk of its production, at around 45 period of it, and this has greatly affected Foxconn when the iPhones dropped in demand.

So far, Apple doesn’t seem to be interested in fully returning the demand for more iPhone production with its new 2019 focus. So far, the major smartphone developer seems to be focused more on improving its services throughout all smart devices rather than releasing new devices this year. In CES 2019 and their upcoming March event, it’s been confirmed that Apple has been focused more on their services announcement rather than announcing the next generation of iPhone, iPads, MacBooks, Apple Watches and other devices that many fans to have in their hands.

Apple China
Less people mean less sales for Apple. Pictured: Customers look at iPhones on display at an Apple Store on January 7, 2019 in Beijing, China. Apple Inc. lowered its revenue guidance last week, blaming China's slowing economy and weaker than expected iPhone sales, as the company's chief executive officer Tim Cook said in a letter to investors the sales problems were primarily in its Greater China region that accounts for almost 20 percent of its revenue and includes Hong Kong and Taiwan. Getty Images/Kevin Frayer