5 ms·

Funny how 'give more of it to employees' and 'lower prices' aren't really in the vocabulary

sashank_1509 3y ago
In their defense, most Apple employees are paid in stocks and share buybacks likely increases their compensation more than directly increasing their compensation.
- pdntspa 3y ago
  Are rank-and-file (not engineering) employees of Apple compensated in enough stock that buybacks are really worth that much? I highly doubt it. And even then, until those shares are sold they are subject to the whims of the market. Paper millionaire status doesn't mean shit if you can barely afford to pay rent. A bird in hand is worth two in the bush...
  - capitalsigma 3y ago
    SWEs at Apple are not "barely able to afford rent"
    - pdntspa 3y ago
      I'm not talking about SWEs. Who cares about them. I am talking about Apple Store employees, or the dudes behind the 'genius' bar, or Jill from marketing
    - deleted 3y ago
      [deleted]
- swores 3y ago
  Considering many shareholders are not employees, how could giving money (/increasing share price through stock buybacks) for shareholders affect employees compensation more than directly giving it to the employees?
rhyme-boss 3y ago
Or 'pay taxes'
- Spivak 3y ago
  This is one of those things where I can go either way on. I'm not mad about the taxes I pay but we're I, or anyone, given the option to reinvest that money into MyFamilyConsulting LLC or give it away via my own self-directed charitable endeavors I would do it without even thinking about it.
driscoll42 3y ago
I'm in Business School and took a class in Finance. In a lecture the professor presented what to do if a company has too much cash, the options where: 1. Invest in positive NPV projects 2. Store some for a rainy day 3/4. Pay divdends or stock buybacks Only after did I think "You know, what about lowering prices or paying employees, these options are soley about shareholders". But... yes, managers are taught to think about increasing shareholder wealth above all.
- dehrmann 3y ago
  > But... yes, managers are taught to think about increasing shareholder wealth above all. Saving money for a rainy day helps employees, too. Investing in new projects does indirectly because staffing up those projects increases the demand for labor, so the price of labor goes up.
  - pnt12 3y ago
    The good old trickle down.

In their defense, most Apple employees are paid in stocks and share buybacks likely increases their compensation more than directly increasing their compensation.

pdntspa 3y ago
Are rank-and-file (not engineering) employees of Apple compensated in enough stock that buybacks are really worth that much? I highly doubt it. And even then, until those shares are sold they are subject to the whims of the market. Paper millionaire status doesn't mean shit if you can barely afford to pay rent. A bird in hand is worth two in the bush...
- capitalsigma 3y ago
  SWEs at Apple are not "barely able to afford rent"
  - pdntspa 3y ago
    I'm not talking about SWEs. Who cares about them. I am talking about Apple Store employees, or the dudes behind the 'genius' bar, or Jill from marketing
  - deleted 3y ago
    [deleted]
swores 3y ago
Considering many shareholders are not employees, how could giving money (/increasing share price through stock buybacks) for shareholders affect employees compensation more than directly giving it to the employees?

rhyme-boss 3y ago

Or 'pay taxes'

Spivak 3y ago
This is one of those things where I can go either way on. I'm not mad about the taxes I pay but we're I, or anyone, given the option to reinvest that money into MyFamilyConsulting LLC or give it away via my own self-directed charitable endeavors I would do it without even thinking about it.

driscoll42 3y ago

I'm in Business School and took a class in Finance. In a lecture the professor presented what to do if a company has too much cash, the options where: 1. Invest in positive NPV projects 2. Store some for a rainy day 3/4. Pay divdends or stock buybacks Only after did I think "You know, what about lowering prices or paying employees, these options are soley about shareholders". But... yes, managers are taught to think about increasing shareholder wealth above all.

dehrmann 3y ago
> But... yes, managers are taught to think about increasing shareholder wealth above all. Saving money for a rainy day helps employees, too. Investing in new projects does indirectly because staffing up those projects increases the demand for labor, so the price of labor goes up.
- pnt12 3y ago
  The good old trickle down.