Photo by Omar Lopez on Unsplash
Starbucks Union Talks Might Restart for New Year
December 11, 2023
A Starbucks union is still very much possible if things pan out properly in 2024. The retail coffee company is eager to kickstart the new year with a fresh round of negotiations with the Starbucks Workers United union, the representative body for its baristas. This move comes as we reach the second anniversary of the initial unionization of Starbucks’ U.S.-based, company-owned cafes this Saturday. Since that landmark moment, unionization has spread to over 360 sites, accounting for approximately 4% of Starbucks’ total American company-owned cafe network.
However, none of these locations have yet been able to finalize a contract with the coffee retail company. This anticipated recommencement of dialogue could pave the way to breaking the deadlock in what has become one of the most high-profile labor conflicts in recent U.S. history. The baristas’ union has been steadfast in their demands, advocating for improved pay and resolving what they regard as cafe understaffing, among other crucial issues.
While labor laws do not necessitate that a collective bargaining agreement is reached between employer and union, they do mandate that both parties negotiate honestly. After a year, workers who lose faith in the union can motion to decertify, thereby bringing a sense of urgency to the discussions. Interestingly, at least 19 sites have submitted decertification petitions with the National Labor Relations Board. However, seven have been dismissed due to allegations of Starbucks violating federal labor laws.
The negotiations between Starbucks and the Starbucks Workers United union began over a year ago but have been marked by tension. Both parties have charged each other with failing to negotiate sincerely. Starbucks has been firm in its preference for face-to-face negotiations, while the union alleges that Starbucks is employing this demand as a delay strategy.
“We collectively agree, the current impasse should not be acceptable to either of us. It has not helped Starbucks, Workers United or, most importantly, our partners. In this spirit, we are asking for your support and agreement to restart bargaining.”
Sara Kelly, Starbucks’ chief partner officer, via CNBC
Furthermore, Starbucks has stated several criteria to restart negotiations, including the prohibition of audio or video recordings or feeds. If these conditions are accepted by Workers United, Starbucks aims to resume discussions in January. The union acknowledged receipt of the proposition, is currently reviewing it, and plans to respond in due time. The union has always been open to discussions with Starbucks and welcomes any progress in the negotiations.
In a significant labor move last November, Starbucks employees staged the largest walkout in the company’s history. More than 200 stores experienced walkouts on the busy Red Cup Day. Consequently, Starbucks Workers United claims that this action led to a significant change they had been advocating for: the option to disable mobile orders during high-volume promotional periods. However, Starbucks counters this, stating the modification to its mobile ordering system was already planned prior to the protest.
Recent News
Novo Noradisk Announces $6B Investment in Ozempic, Wegovy Amid Shortages
The money will help meet increased demand for the drugs.
EV Battery Tax Credit Rules Change in the US
The U.S. government has made some tweaks to electric vehicle (EV) tax credits, possibly paving the way for more EVs to qualify for credits of up to $7,500. These tax credits range from $3,750 to $7,500 for new EVs, with a $4,000 credit available for used ones.
Starbucks CEO Faces Challenges Amidst Stock Decline, Sales Drop
Laxman Narasimhan, CEO of Starbucks Corp. (SBUX), finds himself in a tough spot with plunging shares and declining sales, just a year into his tenure.
Apple’s Record-Breaking $110 Billion Stock Buyback
Apple Inc., one of the world’s largest tech companies, has just made history with the largest stock buyback ever seen in the United States. The announcement comes as the tech giant’s board approved an additional $110 billion in share repurchases.