Starbucks leads effort to hire 100,000 young people

Through a special arrangement, presented here for discussion is a summary of a current article from the Retail TouchPoints website.

Starbucks is partnering with nearly 20 other major U.S.-based companies including CVS, J.C. Penney, Macy’s, Walgreens and Walmart to create the nation’s largest employer-led coalition to hire and train up to 100,000 young people.

Called the "100,000 Opportunities Initiative," the coalition will aim to engage 16-24 year olds who are hindered by various barriers to jobs and education. By 2018, participating companies promised to deliver apprenticeships, internships, training programs and both part-time and full-time jobs.

In a statement, the coalition states there are currently 5.6 million U.S. youth between the ages of 16 and 24 who are out of school and not working. At the same time, there are 3.5 million unfilled jobs in the U.S. that do not require a four-year degree, often called middle-skill jobs.

At 18.1 percent, the unemployment rate for 16-to-19 year-olds remains more than three times as high as the 5.3 percent jobless rate for the entire work force, according to The New York Times, with summer jobs and in-school jobs much more scarce than for previous generations. For many, the lack of work experience hinders careers.

100k initiative

Photo: 100,000 Opportunities Initiative

Starbucks, which is leading the effort, is opening stores over the next three years in 15 "diverse, under-represented neighborhoods" — including ones this year in Chicago, Ferguson, MO, Milwaukee, Phoenix, and Queens, NY — that will include onsite training space to support the initiative.

"The rules of engagement for philanthropy are changing," said Howard Schultz, CEO of Starbucks, in a statement. "It’s not just about writing a check; rather, our approach is focused on creating a coalition of like minds with local knowledge, expertise on-the-ground and the ability to scale the social impact of an initiative like this to create pathways of opportunity for the literally millions of young people."

The 100,000 Opportunities Initiative will make its official debut at the Opportunity Fair & Forum for Opportunity Youth, which will be held August 13 in Chicago. During the event, employers will train more than 2,000 youth and, at the end of the day, make at least 200 job offers.

Others in the coalition include Alaska Airlines, Hilton, Microsoft, Taco Bell and Target.

Discussion Questions

Why are teens and young people in general finding it harder to land jobs at retail? If hiring and training young people who are not pursuing a college education is an opportunity for retailers, why haven’t they made a more concerted effort sooner?

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David Biernbaum
David Biernbaum
8 years ago

It’s always so popular to bash Starbucks whenever they announce a price increase, but this company, and their CEO, Howard Schultz, are true American leaders.

Cathy Hotka
Cathy Hotka
8 years ago

Both of my kids worked at Starbucks and learned valuable life lessons there. Kudos to Howard Schultz for leading the way; let’s hope many others follow.

David Livingston
David Livingston
8 years ago

First, in order to be a wanted employee in retail you need to look approachable. Too many teens have ruined their appearance making them unemployable. None of this is news. I’m sure Starbucks and others already go through 100,000 16- to 24-year-olds on a regular basis as a normal course of business. Spread that out among 20 companies it’s obviously a goal way too easy to achieve. I suppose one way to attract better quality people to these low-level jobs is to change the title from cashier to intern or apprentice. But a rose by any other name …

A friend of mine recently was hired as a college intern for a major entertainment company. Basically she is working a low-wage job at a go kart track making the same as the seasonal workers. She was lured by the “intern” title. My gut feel is after about two days on the job at Taco Bell, these “interns” will wonder what they got themselves into.

Mel Kleiman
Mel Kleiman
8 years ago

Since I work specifically with helping companies hire and retain front-line workers, I ask a lot of my clients why they don’t hire more young people. Some of the reasons:

  1. A lot of these jobs have gone away because of automation. (fast food restaurants are handling more customers with fewer employees.)
  2. The way retail stores are designed has eliminated a lot of the jobs. (think about the ways sales are rung up at most retails stores today.)
  3. Stores have done away with customer service positions on the sales floor.
  4. Availability of older, trained workers.
  5. Use of scheduling software has cut staffing needs.

It is not a lack of young people looking for work, it is a lack of positions that need to be filled.

Ed Rosenbaum
Ed Rosenbaum
8 years ago

Starbucks is proving to be the leader in paving the way for people, especially those young and inexperienced, to improve their lives. Howard Schultz is putting his money where his mouth is and the results will be a better-prepared group of young people in the workplace.

Gene Detroyer
Gene Detroyer
8 years ago

This is off subject, but I am somewhat offended by a statement in the article. ” … jobs in the U.S. that do not require a four-year degree, often called middle-skill jobs.”

Maybe I am taking this the wrong way, but there are many, many jobs that do not require a four-year college degree that are hardly “middle skill.” In fact, college does not teach one skills. We can reference plumbers, electricians, mechanics, artists and computer programmers that could make me look foolish.

But more to this discussion, skills are learned by experience. If the best and brightest out of college don’t have the skills to deal with people, develop an understanding of commitment and work ethic, the degree holder will come up short.

Hy Louis
Hy Louis
8 years ago

Kudos to the PR people for being able to repackage entry level jobs as internships. About 20 years ago many companies renamed their workers “associates” or “team members.” Donald Trump has helped add prestige with the term “apprentice.” Interns are who gets my coffee. Soon they will be brewing it. Seriously it’s not easy to find employees with a positive attitude and enthusiasm. If repackaging the job title helps with recruitment, who can argue with that? Rising wages are not often not enough to encourage people to work. A job is like a product. To sell it not only do you need to price it right, but package it right.

Christopher P. Ramey
Christopher P. Ramey
8 years ago

Congratulations to Starbucks for taking a leading role. Although I wouldn’t confuse it with a philanthropic effort. It is, however, proactive and will help those who are young and unemployed.

Alan Cooper
Alan Cooper
8 years ago

I am a regular at Starbucks. Their employees are a cut above. Perception is that there is an upbeat work environment/culture, a solid brand to work for, personal initiative, hard work and outstanding customer experience. The coffee is always fresh and crisp; the employees genuinely care about getting the orders correct and mixing the drinks exactly to customer likes. Unlike Dunkin Donuts. Unlike McDonald’s. Unlike many others.

Seemingly career-oriented teens and college students migrate to Starbucks. Unlike other retailers where the pool of candidates is much more challenging.

Kudos to Howard Schultz for being a visionary and enhancing the brand.

BrainTrust

"It’s always so popular to bash Starbucks whenever they announce a price increase, but this company, and their CEO, Howard Schultz, are true American leaders."

David Biernbaum

Founder & President, David Biernbaum & Associates LLC


"Both of my kids worked at Starbucks and learned valuable life lessons there. Kudos to Howard Schultz for leading the way; let’s hope many others follow."

Cathy Hotka

Principal, Cathy Hotka & Associates


"Starbucks is proving to be the leader in paving the way for people, especially those young and inexperienced, to improve their lives. Howard Schultz is putting his money where his mouth is and the results will be a better-prepared group of young people in the workplace."

Ed Rosenbaum

CEO, The Customer Service Rainmaker, Rainmaker Solutions