Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Apple Claims It Supports 514K US Jobs—Does It?

Experts question company's analysis

By Matt Cantor,  Newser Staff

Posted Mar 5, 2012 7:37 AM CST

(Newser) – Apple has quantified its effect on the US economy in a new study. Its analysis says its products "create or support" 514,000 US jobs, ranging from the Kansas employees who manufacture glass for the iPhone to the UPS driver who brings that iPhone to your home—but that's a complicated claim, experts tell the New York Times. The "entire business of claiming ‘direct and indirect’ job creation is disreputable,” says an economics professor: Most of Apple's purported workers would have found other work if the Cupertino firm didn't exist, he says. "But of course, they might not have been as well paid or gratified with their work. We’ll never know."

To figure out the company's job-force impact, consultants working for Apple ran the amount it spent on US goods and services last year through a government formula known as an "employment multiplier." Among the final figure's assumptions: that 45% of existing work in the app world can be tied to Apple devices, and that every 40 packages it ships daily through UPS equals one job. Trouble is, "if you say, 'If there had been no Apple, those people would not have jobs,' that’s not true," notes a business professor. If a customer hadn't spent $500 on an iPad, she'd likely have spent it on something else, and it's nearly impossible to say if that would have been a better or worse move. Apple directly employs 47,000 US workers, but has created more jobs—some 700,000 of them—overseas.

Apple says it has created or supported 514,000 US jobs.
Apple says it has "created or supported" 514,000 US jobs.   (AP Photo/Andy Wong)
« Prev« Prev | Next »Next » Slideshow
My TakeCLICK BELOW TO VOTE
3%
7%
3%
3%
2%
82%
To report an error on this story, notify our editors.
COMMENTS
Showing 3 of 9 comments
TiredMemeCat
Mar 6, 2012 4:51 AM CST
If you count rabid sycophants as employees, then yes, they have.
Jojo
Mar 5, 2012 11:57 PM CST
Their use of sweatshopesque factories in China cancels out any good they may have done here.
odowd80
Mar 5, 2012 2:22 PM CST
You can say the same thing about the Chinese factories that make Apple, Samsung, Sony, Microsoft, Nokia, Panasonic, Visio and other brands of electronics. If Apple didn't exist, they would secure contracts with other companies to run their factory, right?
 

NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   BuzzFeed   |   Cracked   |   World History Project   |   POPSUGAR Tech   |   Business Insider   |   HuffPost Entertainment   |   NewsOne