Starbucks interim CEO Howard Schultz released a letter sent to employees on Monday promising more improvements to both customer and employee experiences. While scant details were available, Schultz promises a new era of “significant reinvention” for the Seattle-based coffee giant in a “changing world” where people are facing economic, sociopolitical and health pressures and trauma.
Schultz breaks down his vision for a new Starbucks era into five segments, and promises more specific announcements of programs that will pertain to these pillars soon:
- “Re-envision how we bring our mission to life.
- Renew the well-being of retail partners by radically improving their experience.
- Reimagine our store experience for greater connection, ease and a planet positive impact.
- Reconnect with our customers by delivering memorable and personalized moments.
- Redesign partnership by creating new ways to thrive together.”
He emphasized a Starbucks culture “where we each have voice and agency” and have “shared accountability.” This announcement is likely in direct response to the wave of unionization that has swept the company, where now about 2% of corporate stores have voted to unionize, despite corporate pushback.
Schultz then extrapolated on a “new set of principles” for the Starbucks employee/employer relationship that will guide programs and benefits moving forward, including balancing safety and a welcoming atmosphere in stores, career advancement opportunities for employees, mental/physical and financial well-being, and shared power with employees.
“We built this company on the power of partner ideas and voice,” he said. “Our reinvention must even more deeply unleash power within each of us, more deeply share accountability in building a shared future and benefit all of us when the company succeeds. We aim to be a wholly new kind of company in our industry, setting a new standard.”
This is not the first time Schultz has announced changes coming for Starbucks employees since he rejoined the team following former CEO Kevin Johnson’s departure in April. In May, Schultz said that the company is investing $1 billion in stores and employees in 2022, with average hourly wages set to increase to $17 by Aug. 1. In June, Schultz hinted that for safety reasons, the company is wavering on its popular open bathroom policy.
Nation’s Restaurant News reached out to Starbucks for more information on upcoming announcements and changes to company culture, but did not receive a response in time for publication.
The next CEO of Starbucks will be announced this fall and Schultz will remain on board as interim head of the company until March 2023.
Contact Joanna Fantozzi at [email protected]
Follow her on Twitter: @JoannaFantozzi
