Labor Board Accuses Apple Of Anti-Union Practices: Report

Zinger Key Points
  • Allegations against Apple include using benefits to deter unionization and broader unfair labor practices.

Apple Inc AAPL is reportedly under scrutiny from the federal labor board for not extending a benefits increase to unionized retail employees last year. 

Also Read: Potential Strike Looms as Las Vegas Union Members Demand Workplace Improvements

On Tuesday, a regional director of the National Labor Relations Board filed a complaint, alleging that the technology company breached federal labor regulations. This action followed after accusations that Apple denied unionized employees at its Towson, Maryland store improved benefits in 2022, Bloomberg reports.

In October 2022, the iPhone maker introduced a range of new benefits for its U.S. retail and corporate staff. These included enhanced medical benefits, upfront payment for part of tuition for external education, and complimentary access to a high-end Coursera Inc. subscription.

Following these changes, the International Association of Machinists & Aerospace Workers, representing these employees, lodged charges of unfair labor practices in November 2022. On Tuesday, a spokesperson for the agency stated that the complaint accuses Apple of discriminating against the employees at its Towson location and using the new benefits to deter workers at other sites from forming unions.

The Towson location was the first Apple store to unionize in 2022, followed by a second store in Oklahoma City shortly after. The tech company faced increasing litigation before the NLRB, with IAM accusing Apple of failing to bargain in good faith, as per the report.

In June, a board judge also ruled that Apple managers illegally interrogated workers at its World Trade Center store in New York City.

The grievance arose several weeks following a decision by a judge from the NLRB, who determined that Starbucks Corp SBUX wrongfully left out unionized baristas from its countrywide salary and benefits enhancements in 2022.

Many companies, including Amazon.Com Inc AMZN, are amid unionization attempts over pay and working conditions.

Price Action: AAPL shares closed lower by 0.42% at $190.64 on Tuesday.

Photo Via Wikimedia Commons

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