China smartphone maker Xiaomi to slash 15% of jobs

China’s Xiaomi Corp has started laying off workers in several units of its smartphone and internet services business, reducing its workforce by about 15%, the South China Morning Post reported on Tuesday.

The Hong Kong newspaper cited social media posts by affected employees and local Chinese media, saying China’s social media platforms, including Weibo, Xiaohongshu and Maimai, have been flooded with posts about the job cuts.

Xiaomi had 35,314 staff as of Sept. 30, the paper reported, with over 32,000 in mainland China, and the latest move could affect thousands of workers, many of whom have just joined the company during a hiring spree that began in December last year.

Xiaomi in November reported a 9.7% fall in third-quarter revenue, hit by China’s COVID-19 restrictions and softening consumer demand. Revenue from smartphones, which make up roughly 60% of its total sales, fell 11% year-on-year, Xiaomi said. Reuters