Image Source: REUTERS
Apple announced this week that it would be raising the wages for its retail and corporate staff, even with increasing inflation rates and tight labor conditions in America, which has adversely affected businesses.
The recent COVID-19 pandemic and increased conflict between Russia have caused prices to increase, but Apple’s move will make up for most of their staff’s uncertainty in relation to the market.
Leading companies like Amazon, Google and Microsoft have also moved to increase their workers’ wages. According to them, this is in order to retain good workers and attract new skilled ones.
According to Apple, “This year, as part of our annual performance review process, we’re increasing our overall compensation budget.”
“Supporting and retaining the best team members in the world enables us to deliver the best, most innovative products and services for our customers,” they explained further.
Apple says that the starting wage for employees in its retail department will increase from $20 to $22 dollars per hour. However, there are variations between stores, and some may have different rates depending on the location, but the standard rate should be $22.
Apple is facing several union drives in their retail stores, with the workers shouting for higher wages. The company has granted the request, so the issue will no longer prosper. In Atlanta, talks about a possible meeting with the Communication Workers of America echoed, which is why Apple made its recent move.
In the US, inflation is at an 8.3% rate, and unemployment sits at 3.6%. This economic climate has led many workers in demand for higher salaries or more flexible work schedules so they can afford living costs.
Apple is still dominating sales despite the grim economic climate. Last year, the company saw a growth of 34% in its sale, recording $297 billion in earnings.
The hiring market has slowed down as companies cut back their workforce. Analysts say this is because of strong conditions in the industry. Major tech players like Snap Inc., Nvidia Corp, and Facebook announced that they would slow down initiatives to lessen costs.