Unionized Starbucks employees will go on strike on Friday in Los Angeles, Chicago, and Seattle.
Unionized Starbucks employees will go on strike on Friday in Los Angeles, Chicago, and Seattle.
The employee union representing over 10,000 Starbucks baristas announced their plan to stage strikes in Los Angeles, Chicago, and Seattle on Friday mornings.
Workers United, which represents staff at 525 Starbucks outlets across the USA, claimed that walkouts would escalate daily and reach numerous stores nationwide by Christmas Eve, unless Starbucks (SBUX) and the union managed to reach a collective bargaining agreement.
The union and Starbucks established a "guiding framework" for organizing and collective bargaining in February. Negotiations commenced in April, adhering to the framework, and potentially settling multiple ongoing legal disputes.
However, the union stated on Thursday that Starbucks had failed to present employees with a substantive economic proposal, despite publicly committing to concluding contracts by year's end.
Starbucks did not promptly respond to a request for comment.
The union has been advocating for wage increases, improved staffing, and better schedules at Starbucks stores.
Starbucks has encountered Challenges this year: sales have decreased for three consecutive quarters, marking its longest slide in years. Some customers have boycotted Starbucks due to high drink prices and prolonged wait times, while over 300 stores have voted to unionize over concerns related to pay, benefits, and working conditions.
In August, the struggling coffee chain named Chipotle CEO and business turnaround specialist Brian Niccol as its new chairman and CEO, effective September 9.
Within his second day in office, Niccol penned a letter to staff and customers, expressing his desire to reinstate Starbucks as a "community coffeehouse," characterized by welcoming seating, attractive design, and a distinct separation between "to-go" and "on-site" service.
CNN's Jordan Valinsky contributed to this reporting.
The union's push for a collective bargaining agreement includes demands for better wages, improved staffing, and better schedules in Starbucks stores. Despite the business challenges Starbucks has faced, such as decreased sales for three consecutive quarters and customer boycotts, the coffee chain has seen over 300 stores vote to unionize due to concerns related to pay, benefits, and working conditions.