Starbucks CEO Brian Niccol tells FOX Business why the company enhanced its parental leave benefit.
Some Starbucks workers, outraged over the company’s new dress code policies imposed this week, walked off the job, claiming the company needs to focus on bargaining with union members rather than a “regressive dress code.”
The recent walkouts, sparked by a new dress code requiring employees to wear black clothing under their aprons, have been organized by Starbucks Workers United – the union representing employees at 570 of the company’s more than 10,000 locations. As of Thursday, however, the protests have affected fewer than 1% of Starbucks stores over the past four days, according to Starbucks.
“We’re not just angry over a shirt color. Starbucks is a massive company without focus. They refuse to staff our stores properly, give guaranteed hours to workers, pay us a living wage, or provide stipends to pay for this arbitrary dress code. We need fair union contracts now,” Starbucks Workers United said in a post on X. The union also posted that “workers shouldn’t need to spend $$$ out-of-pocket to replace perfectly good shirts.”
STARBUCKS SETS NEW DRESS CODE FOR WORKERS AS IT REVAMPS CAFE LOOK
The coffee giant, which aims to refresh its store image and boost business under CEO Brian Niccol, announced in April that employees will be required to wear solid black short-sleeve or long-sleeve shirts, which can either be a crew neck, collared or button-up style. Employees may also wear bottoms in any shade of khaki, black or blue denim. Previously, workers were able to wear a range of dark colors and patterned shirts under their aprons.
When Starbucks first announced the change in policy, however, it also promised to provide each employee with two company-branded T-shirts for free.
On Thursday, Starbucks told FOX Business that tens of thousands of workers came to work and that the “biggest update to our dress code is simple: wear a black shirt – either your own or one we provide.”
People pass by a Starbucks coffee shop in Manhattan. (Mostafa Bassim/Anadolu via / Getty Images)
Starbucks previously said the change will “create a sense of familiarity” for customers while helping the company “deliver a more consistent coffeehouse experience that will also bring simpler and clearer guidance to our partners.”
STARBUCKS CEO DOUBLES PARENTAL LEAVE AMID TURNAROUND EFFORT
It was one of many changes made under Niccol, who took over in September and launched a “Back to Starbucks” strategy aimed at reverting the company back to its coffeehouse roots. Niccol is not only working to boost profitability, but to improve the work environment to create the “unrivaled best job in retail” after the company faced years of growing pressure from unionization campaigns nationwide and consecutive disappointing fiscal quarters as traffic declined.
He has been working to streamline operations, which included axing 1,100 support partner roles and closing several hundred open, unfilled positions earlier this year to build more agile teams. He also announced plans to simplify the company’s menu, which has already removed over a dozen less popular drinks to encourage innovation and reduce wait times.
Starbucks CEO Brian Niccol launched a “Back to Starbucks” strategy aimed at reverting the company back to its coffeehouse roots. (Stephen Chernin/Waldo Swiegers/Bloomberg via / Getty Images)
Aside from making physical changes to the store and operation, like reintroducing the use of mugs and the return of the condiment bar – a nod to pre-COVID-19 pandemic norms – the company has boosted benefits for workers.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SBUX | STARBUCKS CORP. | 86.55 | +0.01 | +0.01% |
Niccol told FOX Business in December that the company is working to improve scheduling and increase the number of hours per employee. The goal is for employees to receive at least 24 hours of work per week, according to the chief executive. The company also pledged to fill 90% of retail leadership roles internally.
