Apple retail workers get significant pay bumps up to 25% of current wages

Posted:
in General Discussion edited January 2014
Rumblings and unsubstantiated reports point to sizable pay raises for Apple retail workers, possibly the result of an internal company review that found wages to be a common complaint among Apple Store employees.

A Wednesday report from Dow Jones claims that Apple Store workers from various locations across the U.S. received raises in face-to-face meetings with store managers last week with the pay bumps expected to be reflected in paychecks starting in July.

Official numbers have yet to be released, however new pay scales could in some cases reflect a 25 percent increase in compensation. While the move seems to be a drastic change, it should be noted that not all employes will receive pay bumps as the system is reportedly performance-based.

During a recent internal review staff complained that pay was a major concern, and among the most frustrated were higher-level workers like "Genius" support technicians and "Creative" educational teams. The current pay scale puts floor sales staff at $9 to $15 per hour while Geniuses make around $30 an hour. A source claims employees from at least one Apple Store were poached by a nearby Microsoft retail outlet that offered promotions and higher wages.

Multiple sources say the Apple raises are long overdue and point out that previous rates did not reflect Apple's position as a high-end retailer. A study released in April found that the iconic Apple Store locations see 17 times more sales than the average U.S. retail outlet and lead all national chains in sales per square foot. As of August 2011, Apple's brick-and-mortar stores were taking in $5,626 per square foot, well above second place Tiffany & Co.'s $3000 per square foot. The national average for shops in regional malls is $341 per square foot while the median for the best 20 retailers in the country tops out at $787 per square foot.

Apple Store Staff
Apple Store staff at the company Grand Central Terminal location in New York. | Source: Apple


Apple's new retail chief John Browett, who took residence at the Cupertino, Calif. company two months ago after leaving his position as CEO of UK electronics chain Dixons Retail PLC, is thought to be behind the impressive wage increases. In a video to Apple retail employees in shortly after his hire, Browett promised to push up employee performance reviews from the original September schedule.

The Apple Store has become an increasingly vital part of the company's core business strategy and as of April revenue per location has grown to $12.2 million, a 22 percent increase year-over-year. Over 85 million visitors entered an official Apple outlet in the second quarter of 2012 which translates to an average of 18,000 potential customers per store each week.
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Comments

  • Reply 1 of 25


    Thirty bucks an hour?! What an idiot I've been, running around in the desert.


     


    tumblr_m481pgu0KA1qi0ax6o1_500.png

  • Reply 2 of 25
    That's good news. I'm in favor of raises. Apple's retail experience is still the best, and they should strive to keep high quality people.
  • Reply 3 of 25


    LOL. I worked as a Genius at a fantastically busy store in New England and was making just over $15/hour—and some of my fellow Geniuses were making even less. Only the Geniuses who had been there since the early days of Apple Retail (and whose wages started at their formerly high levels) were making close to $30/hour. The rest of us toiled away at small-time repair shop wages while so, so much more was demanded of us in terms of hours, customer satisfaction, repair ability and speed, adaptability, and more.


     


    I hope my former coworkers are, indeed, getting these raises, but something tells me to doubt that it's actually happening. Apple likes satisfying its customers at the expense of its workers. One day, I hope it finds out that frazzled, undervalued employees will eventually lead to frazzled, undervalued customers, too...

  • Reply 4 of 25
    tyler82tyler82 Posts: 962member


    $9 an hour? Seriously? I guess they definitely took over the GAP model. I used to work for that company. Work you to the bone, make you buy their clothes, and pay you pittance. I'm glad Apple is raising their wages. Those floor people work hard and deserve more. 

  • Reply 5 of 25
    donw35donw35 Posts: 30member


    raise or not, I am just happy to have a job in California (the left coast)

  • Reply 6 of 25
    apple ][apple ][ Posts: 9,233member


    Well, good for them. People selling the best computers and devices in the world should make more than other bozos who sell Android phones and other low class devices. Up to 25% more is a pretty significant increase.

  • Reply 7 of 25
    slurpyslurpy Posts: 5,309member

    Quote:

    Originally Posted by tyler82 View Post


    $9 an hour? Seriously? I guess they definitely took over the GAP model. I used to work for that company. Work you to the bone, make you buy their clothes, and pay you pittance. I'm glad Apple is raising their wages. Those floor people work hard and deserve more. 



     


    $9 isn't bad considering you don't need a shred of experience or education. 

  • Reply 8 of 25
    richlrichl Posts: 2,213member


    That's great news. Well done, Apple. 

  • Reply 9 of 25
    tyler82tyler82 Posts: 962member
    slurpy wrote: »
    $9 isn't bad considering you don't need a shred of experience or education. 

    You're right- if you work 2 hours you make enough to drive to and from work for the day!
  • Reply 10 of 25
    solipsismxsolipsismx Posts: 19,566member
    Thank god the media reported about the poor conditions had by these Apple Store [S]slaves[/S] employees¡


    [LIST][*]http://www.jest.com/video/152159/apple-store-foxconn (Humour)[/LIST]
  • Reply 11 of 25
    zoetmbzoetmb Posts: 2,579member

    Quote:

    Originally Posted by Slurpy View Post


     


    $9 isn't bad considering you don't need a shred of experience or education. 



    If you're a student or part-time worker, maybe.    But you can't live on it in any decent place in the United States.   Can  you live on $18,000 a year?   That's rent or mortgage for most people.   People deserve to make a living wage.   The minimum wage is $7.25 in most states.   In real dollar terms, using the Feds' inflation calculator (which is way understated), minimum wage is almost 34% below where it was in 1970.  Based on 1970, the minimum wage should be close to $11.   And even if it was $11, which the Republicans would never let happen, it's still almost impossible to live on $22K a year in any major city in the U.S. and live a middle-class life.  

  • Reply 12 of 25
    charlitunacharlituna Posts: 7,217member

    Quote:

    Originally Posted by tyler82 View Post


    $9 an hour? Seriously? I guess they definitely took over the GAP model. I used to work for that company. Work you to the bone, make you buy their clothes, and pay you pittance. I'm glad Apple is raising their wages. Those floor people work hard and deserve more. 



     


    I worked for Gap (about 5 years ago) and they never made you buy their clothes. They asked that you were similar styles and no logos from other places. and gave a very generous 50% discount. But it was not a mandate you had to buy in company and only wear that. Something tells me it's still that way. 


     


    as for Apple, I too have heard that Geniuses no longer get nutty high pay, same with Creatives. At most perhaps $20 a hour if you've been there for more than 5-6 years but probably not even that. And I suspect that this 'up to 25% raise' is like battery life. They say 'up to' but few folks get that high, typically it's 1/3 to 1/2 of the claim. 


     


    That said, Apple has enough profit they could probably afford to give an extra $1-2 dollars to everyone just cause. Toss in some bigger discounts, pay more of the health insurance fees etc. Instead of wasting money on those rah-rah quarterly parties how about giving it straight to the workers. I bet some of them wouldn't scoff at a $100 gift card even if it was just to the iTunes store. 

  • Reply 13 of 25


    Retail is very demanding work, period. You have to deal with a whole variety of customers who are crazy, whiners, and sometimes outright hostile. I used to work at the Apple retail store in New York and the volume of traffic you get is overwhelming at times and you're expected to be fast, friendly and efficient 24/7. Sure, it felt good working for such a well-respected company but I'd say Apple is probably being a little to cautious about pay increases for their retail workers, especially with $100B+ cash in the bank. 


     


    Even though I now work a salaried job I still recall how physically demanding retail work can be. 

  • Reply 14 of 25
    jragostajragosta Posts: 10,473member
    zoetmb wrote: »
    If you're a student or part-time worker, maybe.    But you can't live on it in any decent place in the United States.   Can  you live on $18,000 a year?   That's rent or mortgage for most people.   People deserve to make a living wage.   The minimum wage is $7.25 in most states.   In real dollar terms, using the Feds' inflation calculator (which is way understated), minimum wage is almost 34% below where it was in 1970.  Based on 1970, the minimum wage should be close to $11.   And even if it was $11, which the Republicans would never let happen, it's still almost impossible to live on $22K a year in any major city in the U.S. and live a middle-class life.  

    If you can't live on $18,000 per year, I'd suggest getting an education and/or experience that allows you to earn more. Apple (or any other employer, for that matter) doesn't owe you any specific lifestyle. It's up to you to create value in your own career.

    Apple's job is to meet legal requirements - and then to offer a wage sufficient to attract the people they need. They do that. The fact that they're able to get plenty of good people for what they're paying is pretty strong evidence that the wage is not unreasonably low.

    That said, if the story is true, it is an indication that Apple is not interested in getting just 'good' employees, but prefers to pay well above market rates in order to get the cream of the crop. That's certainly a reasonable decision, but don't act like it's obligatory.
  • Reply 15 of 25
    pslicepslice Posts: 115member


    I'm being told this article is not true....about the 25% raise. Those folks need a raise. Every store I've gone in is super busy and dealing with the diversities of the customers deserves well paid, well educated employees. Apple, with all its bucks in the bank, should be making the employees' wallets bigger so that they can afford living in the cities where the Apple Stores located. I think most of the employees work at Apple because they love the Apple products. 

  • Reply 16 of 25
    jragostajragosta Posts: 10,473member
    pslice wrote: »
    I'm being told this article is not true....about the 25% raise. Those folks need a raise. Every store I've gone in is super busy and dealing with the diversities of the customers deserves well paid, well educated employees. Apple, with all its bucks in the bank, should be making the employees' wallets bigger so that they can afford living in the cities where the Apple Stores located. I think most of the employees work at Apple because they love the Apple products. 

    Which economic principle is that?

    Apple's obligation is to pay legal minimum salaries. That's it.

    From a business perspective, they should be paying what is required to get the quality of employees they need.

    What principle suggests that they should give more money to employees - just because they have money?
  • Reply 17 of 25
    zoetmbzoetmb Posts: 2,579member

    Quote:

    Originally Posted by jragosta View Post





    If you can't live on $18,000 per year, I'd suggest getting an education and/or experience that allows you to earn more. Apple (or any other employer, for that matter) doesn't owe you any specific lifestyle. It's up to you to create value in your own career.

    Apple's job is to meet legal requirements - and then to offer a wage sufficient to attract the people they need. They do that. The fact that they're able to get plenty of good people for what they're paying is pretty strong evidence that the wage is not unreasonably low.

    That said, if the story is true, it is an indication that Apple is not interested in getting just 'good' employees, but prefers to pay well above market rates in order to get the cream of the crop. That's certainly a reasonable decision, but don't act like it's obligatory.


    Completely disagree.   Any company has an ethical obligation not to exploit workers.   Just because there's an excess of workers doesn't make it right for a company to pay less than what it costs to live.    In a bad economy, the fact that they're able to get workers has absolutely NOTHING to do with whether the pay is not unreasonably low.     And I do think it's obligatory if a company wants to act ethically, especially a company that sells luxury products and makes huge profits.      


     


    This concept we have in the capitalist system that a public company's only obligation is to the stockholders is completely unethical and misguided.    That may be the current legal obligation, but a more ethical mandate would be a divided obligation to the stockholder, the employees, to the purchasers of its products and even to the rest of the world (in terms of environmental impact).     Should we survive another hundred years, I think people of that era will look back at us with the same revulsion we look back at slave owners.   They'll wonder, "what the hell were they thinking?"


     


    Furthermore, I think it's in a company's self-interest to pay well, both for the reason you mentioned -- to get the best workers, but also to insure a healthy economy so that people have enough money to purchase the company's products.    If every company lays off enough workers either to save money or because of productivity gains, there won't be anyone left to purchase anyone's products and we'll all sink together.      U.S. companies are complaining there's not enough demand so they're not hiring workers.    Well, there's not enough demand because the workers who are already under- or un-employed don't have much to spend. 


     


    Furthermore, tell me how someone making $18,000 a year can afford a college education that now costs $40,000 at most private schools per year and at a minimum of $6000 at most public schools.      This is how we're creating a permanent underclass in our society.    

  • Reply 18 of 25
    sensisensi Posts: 346member


    I am sure that this unprecedented raise isn't related at all with the PR prospects of this recent article:


     


    http://www.nytimes.com/2012/06/24/business/apple-store-workers-loyal-but-short-on-pay.html


     


    Apple store workers will want to thank the NYT, Apple shareholders must hate it.

  • Reply 19 of 25


    The pay increases were planned and approved well before any article in NYT.  It's a result of a new head of Retail and Tim Cook's policies versus Steve Jobs.  Apple does not respond to public pressure historically; these increases resulted from a more receptive leadership.

  • Reply 20 of 25
    sensisensi Posts: 346member

    Quote:

    Originally Posted by Thoughtful View Post


    Apple does not respond to public pressure



    Seriously, one only have to see the late year to see how Apple "does not respond to public pressure": from foxconn and others Apple subtractors work policies, now more than ever heavily audited after some press reports, Greenpeace and Apple's coal powered data centers, since that campaign they are turning 100% green, to Siri results edited under a day as soon as some result is derided in a few blog posts, etc. A bit delusional to claim that they don't, nope?


     


    Moreover from what I know Apple raises are usually done on the 30th of september, yet this year it is bizarelly done in the middle of June, only two days before a extensive press report about it. Are you that much naive?

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