Apple plans to cut back on hiring for select divisions as the sale of iPhones slows down, according to a Bloomberg report on Wednesday.

The CEO of the company earlier this month told employees that Apple would reduce hiring for few divisions, however, the company would not freeze hiring, reported Bloomberg. Cook also said the groups are not specified as yet.

Reportedly, the comments are made at an all-hands meeting the day after Apple’s surprise disclosure that sales in its holiday quarter fell short of its expectations. The company blamed the slackening Chinese economy and sluggish demand for smartphone demand for the shortfall in iPhone sales.

In the all-hands meeting Tim Cook, however, said Apple’s artificial intelligence group would not be affected by the hiring stoppage. And that the plan to open offices in Los Angeles and Austin would also not change, Bloomberg reported.

As of September 29, Apple had 132,000 full-time employees including employees at Apple’s Cupertino California headquarters and its various offices, as well as the employees that work at Apple’s retail stores across the world.