Apple Store Workers Seek to Unionize, Following Efforts at Amazon, Starbucks

Several Apple stores have shown interest in unionizing, according to organizers. Workers from a store in Atlanta last week filed for a union election with the National Labor Relations Board, the agency confirmed, and could soon approve a vote. Apple employees at a New York store are also aiming to file for an election, according to organizers.

While demands could vary by store, some Apple organizers have said they seek higher pay, increased tuition reimbursement and larger 401(k) matches, among other goals. Some organizers have said Apple workers haven’t been given equitable stock options or cost-of-living adjustments, as the tech giant has soared to new financial heights during the pandemic and as inflation in the U.S. has risen to historic levels.

The Atlanta employees have aligned with the Communications Workers of America, which represents workers from companies such as Verizon and a unit of

AT&T Inc.

The union said the Atlanta store employs more than 100 people who are eligible to vote, with more than 70% having signed cards showing interest in an election. New York employees are seeking to join Workers United, an affiliate of the Service Employees International Union that has also aided Starbucks workers in organizing.

“Apple is a profoundly positive place to work, but we know that the company can better live up to their ideals,” said Derrick Bowles, an employee at the Atlanta store. Workers have said they were inspired by the union success at Starbucks and Amazon.

An Apple spokesman said the company is “fortunate to have incredible retail team members, and we deeply value everything they bring to Apple,” and that the company offers employees strong compensation, healthcare options, tuition reimbursement, parental leave and stock grants, among other benefits. The spokesman said Apple’s minimum pay at retail stores is $20 an hour.

The effort to unionize comes as a historically tight labor market, as well as worker unrest in some industries because of the pandemic, has shifted some power to rank and file employees. Apple is a unique entrant given its devoted brand following and marketing finesse, labor and tech analysts say, though employees face several hurdles in achieving success based on organizing efforts at other companies.

Apple’s retail stores have operated as much as a marketing tool as a retail channel, said Gene Munster, managing partner at tech investment firm Loup. Apple retail employees are part of a famed store ecosystem originally envisioned by late co-founder

Steve Jobs,

who sought to overhaul in-store shopping with aesthetically pleasing layouts and geeky associates who upheld Apple’s values.

“The point of these stores is for people to have a connection with Apple and have a great experience and tell people about it,” Mr. Munster said. “Now [Apple] may have to tweak the formula.”

Unionizing Apple would involve some differences from Amazon or Starbucks. Amazon’s core e-commerce business relies heavily on its hourly workforce, with most of the company’s roughly one million-person U.S. staff housed at its more than 1,000 facilities used to store, package and ship items. Starbucks has a much smaller hourly staff, but it is one that facilitates most of the company’s sales.

Apple, meanwhile, relies much less on in-store sales, and that figure has been dwindling since the start of the Covid-19 pandemic. Loup reports that roughly 17% of Apple’s direct sales are made at its retail stores, and only 6% of total sales happen in-person, with that figure having decreased in the past two years. Apple doesn’t disclose the figure. Apple employs more than 65,000 retail workers in more than 500 stores, with over 270 stores in the U.S. Apple is one of the world’s most valuable companies, with a market capitalization of roughly $2.7 trillion.

Yet the union attempts at major companies have shared some similarities. While workers at Apple, Amazon and Starbucks have sought the help of established unions, they have largely organized themselves, using their direct channels as company employees and motivation from internal campaigns and after seeing employees successfully unionize at other businesses.

Amazon has sought to counter labor activists, holding meetings inside facilities to discourage union support and objecting to the election results at a Staten Island, N.Y., warehouse earlier this month. Workers there voted to establish the company’s first U.S. union. Employees at a different Staten Island facility will vote on whether to unionize from April 25 to April 29.

At Starbucks, Chief Executive

Howard Schultz

recently said it is prepared to expand worker benefits but that the benefit might exclude unionized staff.

“How [Apple] handles this is a marketing topic, too,” Mr. Munster said. “They have arguably the best brand. And putting people first is what the brand stands for.”

Write to Sebastian Herrera at [email protected]