In a notable move, workers at Starbucks have announced plans to embark on a five-day strike starting Friday, fueled by frustrations over stalled contract negotiations with the company. This striking action is set to commence in major cities including Los Angeles, Chicago, and Seattle, and there is potential for it to extend to numerous locations nationwide as Christmas Eve approaches.
Starbucks Workers United, the union representing staff at 535 company-owned stores in the U.S. since 2021, expressed disappointment over Starbucks’ failure to fulfill a commitment made earlier this year to finalize a labor agreement. The union is also demanding that the company addresses various unresolved legal matters, particularly the numerous unfair labor practice complaints filed with the National Labor Relations Board.
Despite the arrival of Brian Niccol as the new Chairman and CEO in September, who stands to earn over $100 million in his first year, the union criticized Starbucks for proposing an economic package that lacks any immediate wage increases for unionized baristas. Instead, it offers merely a 1.5% wage increase in future years.
“Union baristas know their value, and they’re not going to accept a proposal that doesn’t treat them as true partners,” stated Lynne Fox, president of Workers United.
On the company’s side, Starbucks claims that the union prematurely ended a bargaining session recently. Starbucks operates nearly 10,000 company-owned stores across the U.S., and in a public statement, the company emphasized its readiness to resume negotiations, urging the union to return to the discussion table.
Starbucks has highlighted its offerings, stating that they provide wages and benefits, including free college tuition and paid family leave, that equate to approximately $30 per hour for baristas working at least 20 hours a week. However, many workers feel these efforts are insufficient given the company’s recent moves.
This isn’t the first time Starbucks workers have organized strikes during the holiday season. Just last month, on Red Cup Day—a day typically marked by the company distributing thousands of reusable cups—thousands of employees at over 200 locations walked out. Additionally, in June 2023, workers protested by striking after the union alleged that Starbucks had banned Pride displays at several stores.
Earlier in the year, there seemed to be common ground between the union and the company, as both sides returned to the bargaining table with a commitment to reach an agreement. By April, Starbucks had conducted nine bargaining sessions with the union and had successfully negotiated over 30 agreements. Yet, despite this progress, the current negotiations have reached a standstill.
Fatemeh Alhadjaboodi, a Starbucks barista from Texas and a bargaining delegate, stated, “In a year when Starbucks invested so many millions in top executive talent, it has failed to present the baristas who make its company run with a viable economic proposal.”