Bay Area Tech Firms Announce Hundreds of Job Cuts Amid Tariff and Regulatory Pressures

Several technology companies have announced plans to cut hundreds of jobs across the Bay Area, citing challenges from tariffs, strict state regulations, and declining demand from Chinese customers.

The layoffs, disclosed through official filings with California’s Employment Development Department (EDD), add new uncertainty to the region’s employment outlook. Google, SAP America, Advanced Pressure Technology, Oracle America, and Cruise are among the firms reducing staff, for a total of 386 job losses.

Details from the WARN notices include:

  • Advanced Pressure Technology will eliminate 237 jobs in Napa as part of a permanent plant closure effective Dec. 1.
  • SAP America plans to cut 82 positions in Palo Alto on Nov. 21.
  • Google will lay off 50 employees across several Sunnyvale offices on Nov. 9.
  • Cruise cut 12 positions in San Francisco on Sept. 30.
  • Oracle America will reduce five jobs, with four in Redwood City and one in Pleasanton, on Nov. 5 and 10.

Advanced Pressure Technology, a subsidiary of Indiana-based SMC Corp. of America, said the Napa plant shutdown stemmed from multiple factors — including weakened demand from key clients, global trade policy shifts, and the high cost of operating in California.

“AP Tech has experienced a significant slowdown in orders, particularly from one of its largest customers in China, which has accumulated excess inventory and is canceling purchases,” Christine Castille, SMC’s human resources manager, wrote in the WARN notice.

The company said tariffs and global trade tensions have hurt international sales, while prior cost-cutting efforts — including reduced overtime and resource reallocation — failed to stabilize operations.

Ultimately, production will move to Indiana, where SMC’s main facilities are based. “Despite significant attempts to streamline operations, maintaining the California site has become financially unsustainable,” the company said in an Oct. 3 statement.

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