Starbucks' new CEO said he wants to improve work for its baristas. They aren't happy yet.
- Starbucks CEO Brian Niccol has talked about improving conditions for baristas.
- A potential strike at some Starbucks stores represents a test on that front for the new CEO.
- Niccol has made some operational changes, but Starbucks Workers United wants better pay.
Starbucks CEO Brian Niccol has talked about improving working conditions for the company's baristas.
Now, as thousands of them prepare for a potential strike, Niccol faces a test of that commitment.
Baristas who are part of Starbucks Workers United, which represents about 10,000 Starbucks workers in the US, voted to authorize a strike, the union said on Tuesday. About 98% of members voted in favor of action, though they haven't selected a walkout date, according to the union.
The union said Tuesday that it's focused on winning better raises for its members. It also wants to resolve hundreds of unfair labor practice charges, or ULPs, filed with the National Labor Relations Board.
The contract negotiations predate Niccol's arrival at Starbucks in September. Starbucks and the union have been at odds for three years. The first Starbucks store to unionize — a location in Buffalo, New York — was organized in 2021. The parties restarted talks in April after about a year of no meetings and have struck agreements on some provisions of the contract.
Starbucks and union representatives continued to bargain on Wednesday, a spokesperson for Starbucks Workers United told Business Insider.
"It is disappointing that the union is considering a strike rather than focusing on what have been extremely productive negotiations," Starbucks spokesperson Phil Gee said. "Since April, we've scheduled and attended more than eight multi-day bargaining sessions where we've reached thirty meaningful agreements on dozens of topics Workers United delegates told us were important to them, including many economic issues."
Since becoming Starbucks CEO, Niccol has said he sees opportunities to improve some operational aspects of baristas' working conditions as part of a broader push to revitalize sales. In an open letter in his first week as leader, he said the company would focus on "empowering our baristas to take care of our customers" and that he wanted to make it "the best place to work, with career opportunities and a clear path to growth."
Some Starbucks workers have told BI that their stores are understaffed, including during some of the busiest times of the day, such as the morning and after-school rushes. Other workers have said that Starbucks' frequent promotions for app users result in a crush of mobile orders that they struggle to prepare in just a few minutes.
Niccol's early actions at Starbucks have included fixes to some of those issues, such as rolling back the frequency of promotions and adjusting staffing, he said on an earnings call in October. Starbucks also plans to bring back self-service milk and other condiments at its stores in 2025 to lighten some of the barista load.
One sign of progress came on Monday, when Starbucks said it would offer employees up to 18 weeks of paid parental leave — triple its current benefit of six weeks. Employees represented by Starbucks Workers United had previously proposed doubling the paid time off for parents.
On Tuesday, Starbucks Workers United said that the company had yet to agree to make changes to other aspects of workers' jobs. The union represents baristas at about 500 Starbucks stores.
"It's time to finalize a foundational framework that includes meaningful investments in baristas and to resolve unfair labor practice charges," Silvia Baldwin, a Starbucks barista in Philadelphia barista and bargaining delegate, said on Tuesday.
Starbucks spokesperson Gee said: "We remain committed to working together and committed to reaching a final framework agreement. This is our goal."
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