North America Coffeehouse Portfolio Updates
Making Progress Getting ‘Back to Starbucks’
Our ‘Back to Starbucks’ strategy is built on feedback from our customers and partners, and it’s driving real change in our coffeehouses. From a $500 million investment in the partner experience to add more partners in store and on shift and new tools to manage order flow to 18-weeks of parental leave and industry-leading wage and benefits, we’re prioritizing resources to support our green apron partners. As a result, turnover is at a record low, shift completion is at a record high and more partners are recommending Starbucks as a great place to work.
As Brian Niccol shared in an open letter to partners on September 25, “While we’re making good progress, there is much more to do to build a better, stronger, and more resilient Starbucks.”
North America Coffeehouse Portfolio Review
As part of the Company strategy, Starbucks concluded a North America coffeehouse portfolio review with a goal for every coffeehouse to deliver a warm and welcoming space with a great atmosphere and a seat for every occasion. During the review, the company identified coffeehouses unable to create the physical environment Starbucks customers and partners expect, or where the Company doesn’t see a path to financial performance. It was determined these locations will close.
Store closure decisions have been made through a thoughtful, lawful process and union representation is not a factor. We’re working with Workers United on next steps for the partners they represent.
Status of Collective Bargaining with Workers United
In February of 2024, Starbucks and Workers United announced a commitment to a collaborative and respectful path forward in the collective bargaining process that would be in the best interest of represented Starbucks partners. Unfortunately, in April of 2025, despite nearly 200 hours of negotiations and more than 130 proposals exchanged, Workers United unilaterally decided to present an incomplete framework for single-store contracts to their delegates to vote on, effectively undermining our collective progress. The union’s actions have only caused further delay in reaching a mutual agreement on the path forward.
We’re ready to finalize a reasonable contract for represented partners, but we need the union to return to the bargaining table to finish the job.