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Starbucks Union Strike Coincides with Promotional Day in US

BusinessStarbucks Union Strike Coincides with Promotional Day in US

Starbucks Workers United, a union representing baristas, initiated an open-ended strike on Thursday at locations across the United States. The work stoppage coincided with the company’s annual “Red Cup Day” promotional event and follows a period of unsuccessful contract negotiations between the union and Starbucks Corporation.

According to a statement from Starbucks Workers United, the strike involves more than 1,000 workers at over 65 stores in at least 40 cities. The action follows a vote by union members to authorize the strike.

The union has stated it is seeking improved working hours, higher wages, and the resolution of unfair labor practice charges filed against the company.

In a statement, union spokesperson Michelle Eisen said, “If Starbucks keeps stonewalling a fair contract and refusing to end union-busting, they’ll see their business grind to a halt.” Eisen added, “’No contract, no coffee’ is more than a tagline — it’s a pledge to interrupt Starbucks operations and profits until a fair union contract and an end to unfair labor practices are won.”

Starbucks issued statements addressing the strike and the status of negotiations.

“We will be ready to serve customers across our nearly 18,000 company-operated and licensed stores this holiday season,” the company said in a previous statement responding to the strike vote.

Jaci Anderson, a Starbucks spokesperson, told CNBC that the company has repeatedly asked the union to resume negotiations. “Workers United, which represents only 4% of our partners, chose to walk away from the bargaining table. We’ve asked them to return—many times,” Anderson stated. “If they’re ready to come back, we’re ready to talk. We believe we can move quickly to a reasonable deal.”

Negotiations between the two parties have been ongoing since the unionization effort began in 2021. The parties have not been in active negotiations since talks ceased late last year. Both sides have publicly stated their willingness to negotiate while attributing the lack of an agreement to the other party.

In a letter to employees last week, Starbucks Chief Partner Officer Sara Kelly noted that the company and union had “reached more than 30 tentative agreements on full contract articles” before talks ended.

The union and the company provide different figures on the extent of union representation. Starbucks Workers United states that it represents over 12,000 workers at more than 550 stores. Last week, Starbucks reported to CNBC that the union represents approximately 9,500 workers at 550 locations.

The strike occurs as Starbucks enters its holiday season. The company has stated that past strikes have affected less than 1% of its U.S. stores.

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