A data collection terminal is provided with an audible feedback system that self-compensates for changes in ambient noise levels. The data collection terminal comprises a central processor adapted to execute stored instructions and having at least a display, a keyboard and a communications interface operatively coupled thereto. An audio driver is operatively coupled to the processor. The audio driver includes a speaker for producing sounds responsive to functions performed by the central processor and a microphone for receiving audio input signals. The audio driver adjusts the output volume of the speaker responsive to variations in ambient noise detected by the microphone so that the speaker produces a substantially consistent volume level in relation to the variations of ambient noise.