2023-12-15 19:54:00
Starbucks Faces Backlash as 23 Branches Close Amid Unionization Efforts
Several complaints have been filed with the US Department of Labor alleging that Starbucks has closed 23 branches in response to employees’ plans to join labor unions. This comes as the coffee chain has faced increasing pressure from workers across its 9,300 branches in the US to unionize.
Since 2021, over 360 branches have had employees submit applications to join labor unions, and more than 100 complaints have been filed against the company for allegedly acting against its employees’ right to unionize.
In response, Starbucks has disputed the claims, stating that it supports its employees’ right to unionize. The company also mentioned that it conducts annual inspections at its branches and makes decisions about renovations, opening new locations, and potentially closing certain branches.
The Ministry of Labor is currently considering options to instruct Starbucks to reopen the closed branches immediately.
This is not the first time that Starbucks has faced challenges from labor unions. Just a month ago, the labor union put forward three candidates for the company’s board of directors, arguing that changes are needed at the board level to address the demands from the labor union. Starbucks, on the other hand, highlighted its nearly $9 billion investment in the last three years to improve employee experiences and store operations, with a significant portion of this investment going directly to employees through salary increases, training, and technological advancements.
The situation with Starbucks and its employees’ unionization efforts continues to develop, and it remains to be seen how the company will address the growing calls for union representation.
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