This past Wednesday, Apple (NASDAQ: AAPL) said that it would give all its workers a pay raise for corporate and retail employees, starting much later in the year. The reason for this particular action is from a greatly increased cost of living and inflationary pressures as well as a difficult labor market in the United States.
Due of these factors, Apple has followed recent move from other tech giants like Google (NASDAQ: GOOGL), Amazon (NASDAQ: AMZN), and Microsoft (NASDAQ: MSFT), by making its starting pay rate $22 per hour rather than $20 per hour. Stores in other specified locations might potentially have even higher starting pay rates, according to Apple.
"Supporting and retaining the best team members in the world enables us to deliver the best, most innovative, products and services for our customers," an Apple spokesperson informed the Wall Street Journal. "This year as part of our annual performance review process, we're increasing our overall compensation budget."
Presently, Apple has around 170,000 people who work for the company, which includes retail employees, AppleCare technical support staff, and those who work in the corporate world. North America's starting salary, which has been $7.25 since 2009, is well below that of Apple.
According to a report made by Bloomberg, Apple will be giving a pay raise to salespersons, Genius Bar support members, and senior workers by around 10%, but it is not clear regarding the exact amount.
The salary increase has been brought about by Apple, given that it is dealing with retail union drives on a nationwide level with employees who are looking for a pay raise. This coming June, Apple workers in Atlanta, Georgia will vote on whether they will work with the Communication Workers of America.
Apple has stated that this pay increase for hourly employees "represents a 45% increase in starting rates since 2018, and reflects our deep gratitude for the extraordinary work of our valued team members."
Apple has also decided to implement other ways of attracting future potential full-time or part-time employees, such as extended vacations, sick leave, and child care perks.