Apple says it will increase pay for corporate and retail employees in a tight job market

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Apple said Wednesday it would increase pay for corporate and retail workers by the end of the year. The move comes during a historically rigid labor market in the United States and how employees do it increase in inflation and the cost of living.

Apple’s move comes later Google, Amazon Other Microsoft has made changes to their pay structures in recent weeks to pay workers more in an effort to retain and attract talent.

“Supporting and retaining the best team members in the world allows us to provide the best and most innovative products and services for our customers,” an Apple representative said in a statement. “This year, as part of our annual performance review process, we are increasing our global compensation budget.”

Apple also wants to raise the starting wage for its retail employees in the United States to $ 22 an hour, up from $ 20. Stores in some regions may have higher starting wages, Apple said.

The hike in retail wages was announced as Apple faces initiatives from retail unions across the country demanding higher wages. Employees of a store in Atlanta, Georgia want vote in June whether to organize with the Communication Workers of America.

Inflation hit 8.3% in April, the fastest rate in over 40 years, while unemployment remains low at 3.6%. This combination of factors has prompted many workers, especially in high-demand industries such as technology, to seek better pay or more flexible terms at other companies.

There are some signs that the hot labor market for tech workers could slow in response to market conditions. Facebook, Snap and Nvidia recently said they will slow hiring to control costs in response to market conditions.

Apple remains a giant with a strong cash position, with sales up 34% in 2021 to over $ 297 billion with a gross margin of 43%.

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