Apple has added more than 700 new jobs in Austin

Jun 9, 2014
Austin American Statesman

While Apple Inc. isn’t yet on the clock to start meeting its promises to the city of Austin in exchange for millions in tax breaks, the tech giant’s expansion of its Austin operations has already created more than 700 new local jobs, according to documents obtained by the American-Statesman

In a highly publicized deal in 2012, the Austin City Council approved $8.6 million in tax breaks for Apple in exchange for the Cupertino, Calif.-based company establishing its Americas Operations Center here. Apple also is in line for $21 million in state incentives for the project, along with between $5 million and $6 million from Travis County

Apple, in turn, agreed to create more than 3,600 new full-time jobs while retaining at least 3,100 existing full-time jobs. The company also agreed to spend $282 million on new buildings and equipment in Austin over the next decade

Apple said it created 743 new full-time jobs in Austin in 2013, according to documents filed with the city, bringing the company’s total to 3,348 full-time jobs in Austin as of year’s end

Apple also invested $56.5 million in “real property improvements and new machinery and equipment associated with its Americas Headquarters” in 2013, according to the documents

Apple’s project is planned to be built in two phases in Northwest Austin, near its current customer support center. The city’s incentives package will provide Apple $8.6 million based on a 10-year waiver of real and personal property taxes on the new campus

The company’s local investment is expected to include seven new office buildings with a combined 1 million or more square feet of space. Those buildings will house an estimated 3,600 new workers needed to support Apple’s continued growth. The average wage for those new jobs will be $54,000 a year in the first year of the expansion and will expand to $73,500 in the 10th year, according to the incentives agreement

While it’s early in the game, city economic development officials and local economists say the Apple incentives deal is a positive one for the city

“Winning that Apple project is still one of the more significant wins for Central Texas in a long time,” said Dave Porter, senior vice president for economic development at the Greater Austin Chamber of Commerce, pointing to the number of jobs and the amount of promised investment

Print Article opens in new window