Starbucks Union Strike Spreads To Over 120 Stores, Workers Press For Higher Pay

• The union blamed Starbucks for the strike, stating that its failure to listen to its baristas has forced them to strike over the company’s unfair labor practices.
• It noted that accepting the union’s demand for higher pay would cost the company less than an average day’s sales.
• The Starbucks Workers Union also called out Niccol’s $96 million compensation, adding that it is 6,666 times the average barista’s salary.

The Starbucks Workers Union on Friday announced the expansion of its strike against Starbucks Corp. (SBUX) to more than 120 stores and 85 cities as it demands higher pay and increased staffing at the coffee chain’s outlets.

The union stated that more than 2,500 baristas have now joined its strike over unfair labor practices (ULP), adding that the current protest is the longest one in Starbucks’ history.

“It’s time for Brian Niccol and Starbucks executives to stop stalling and cut the excuses,” said Michelle Eisen, Starbucks Workers United spokesperson.

Starbucks’ shares were up 0.4% in Friday morning’s trade. Retail sentiment on Stocktwits around the company trended in the ‘bearish’ territory.

Labor Law Violations

The union said that the company’s failure to listen to its baristas has forced them to strike over Starbucks’ unfair labor practices.

“Starbucks is the biggest violator of labor law in modern history as the National Labor Relations Board (NLRB) and its Administrative Law Judges (ALJ) have found that Starbucks has committed more than 400 labor law violations,” the union said.

Stonewalling Demands

The Starbucks Workers Union also said that the company is stonewalling its demands. It noted that accepting the union’s demand for higher pay would cost the company less than an average day’s sales.

It also called out Niccol’s $96 million compensation, adding that it is 6,666 times the average barista’s salary.

Niccol was named Starbucks CEO in August 2024, following his stints as the chief of Yum Brands Inc.’s (YUM) Taco Bell and Chipotle Mexican Grill Inc. (CMG).

SBUX stock is down 5% year-to-date and 14% over the past 12 months.

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