Key Takeaways
- The strike by some Starbucks baristas has expanded to 300 stores in the U.S., according to the union representing them.
- The union is demanding a higher minimum wage and other concessions from the company.
- A Starbucks executive said a vast majority of its locations remained open, and the union’s pay request is “not sustainable.”
The union representing some Starbucks (SBUX) baristas announced that workers in 300 stores in the U.S. are now taking part in a strike against the biggest coffee chain.
Starbucks Workers United wrote on social media site X that the walkout, which began in Chicago, Los Angeles, and Seattle last Friday, has now reached locations “from coast-to-coast.” The strike is scheduled to end today.
The union has argued that the company hasn’t bargained in good faith, and it is fighting for “a fair contract.”
Starbucks Says Union’s Pay Request ‘Not Sustainable’
Sara Kelly, Starbucks’ executive vice president and chief partner officer, wrote to employees Monday that despite what the union says, “The vast majority of our stores (97-99%) will continue to operate and serve customers, and we expect a very limited impact to our overall operations.”
Kelly reiterated the company’s earlier argument that it was Starbucks United that backed out of contract talks last week, and the union’s demand of an increase in the minimum wage of 64% immediately and 77% over the life of a three-year contract is “not sustainable.”
Starbucks shares were nearly 2% higher in recent trading but are down about 7% on the year.