Unionized baristas demand higher wage increases as negotiations with Starbucks stall, the New York Times reports.
Baristas at Starbucks stores in Los Angeles, Chicago, and Seattle are set to begin a strike on Friday morning following failed contract negotiations between the coffee giant and the workers’ union, Workers United. The union, which represents baristas at over 500 Starbucks locations across the US, warned that the walkout could expand to hundreds of stores by Christmas Eve if the company does not present a better wage offer.
The strike is expected to initially affect about 15 stores across the three major metropolitan areas, according to a union member familiar with the plans who spoke on condition of anonymity.
The walkout was called after a bargaining session between Starbucks and Workers United failed to deliver higher wage increases for unionized workers. The union criticized the company’s proposed wage offer, which included no immediate pay raises for unionized baristas and guaranteed only a 1.5% wage increase in future years.
According to the proposed deal, if Starbucks raises wages for non-union baristas by more than 1.5% — as it did this year with a 2% increase — the unionized workers would also receive the higher amount. However, union representatives argue that the offer falls short of meeting workers’ financial needs, especially in light of inflation and rising living costs.
“Starbucks proposed an economic package with no new wage increases for union baristas now and a guarantee of only 1.5 percent in future years,” Workers United said in a statement.
Starbucks spokesperson Andrew Trull expressed disappointment over the union’s decision to walk away from the negotiating table.
“It is disappointing they didn’t return to the table given the progress we’ve made to date,” Trull said.
He suggested that the union “prematurely ended” the latest bargaining session.
The two sides have been negotiating since April, with monthly sessions focused on developing a national contract framework. So far, they have reached more than two dozen tentative agreements on a range of non-wage issues, including health and safety protocols, attendance policies, and protections ensuring that workers can only be fired for just cause.
Starbucks had also agreed to expand paid parental leave for union workers, a move that many believe was prompted by union demands made during earlier bargaining sessions.
Starbucks workers began their unionization push in the fall of 2021, and since then, baristas have staged several one- and two-day strikes to pressure the company into accepting their demands. The latest strike, however, could extend for up to five days, with the potential for more stores to join in the action.
The labor dispute comes after a shift in Starbucks’ leadership. Former CEO Laxman Narasimhan had sought to ease tensions with the union by proposing a “peace deal” that would create a process for employees to unionize without corporate opposition and establish guidelines for contract negotiations. But Narasimhan faced pressure from union-backed campaigns, shareholder activism, and controversy over the company’s position on the Israel-Palestine conflict.
After Narasimhan’s departure in August, Starbucks named Brian Niccol, the former CEO of Chipotle, as its new chief executive. In a letter to the union in September, Niccol promised to negotiate in “good faith” and engage constructively. However, workers say the pace of progress has slowed under Niccol’s leadership.
“Our CEO Brian doesn’t know what it’s like to preside over the company while it’s fighting with us,” said Starbucks barista and bargaining delegate Silvia Baldwin. “It was pretty clear very quickly that we were going to have to remind him or teach him what that looks like.”
