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Starbucks and Starbucks Workers United union begin collective bargaining processStarbucks and Starbucks Workers United union begin collective bargaining process

Starbucks and SBWorkers United jointly announced a renewed commitment to a better relationship; union members now get credit card tipping benefits

Joanna Fantozzi, Senior Editor

February 28, 2024

2 Min Read
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Starbucks and SBWorkers United have reached a historic agreement.Starbucks

Joanna Fantozzi

After more than two years of clashes both inside and outside the courtroom, Starbucks and its growing group of unionized stores represented by Starbucks Workers United, have agreed to a better relationship moving forward and to start the collective bargaining process in earnest. As a show of good faith, Starbucks has committed to introducing credit card tipping and other benefits from May 2022 to unionized stores — benefits that the company had previously withheld claiming that changes to an employment contract cannot be made without a collective bargaining agreement.

“Starbucks and Workers United have agreed to begin discussions on a foundational framework designed to achieve both collective bargaining agreements for represented stores and partners, and the resolution of litigation between the union and the company,” Starbucks and Workers United said in a joint statement. “While there is important work ahead, coming together to work on this framework represents an important step forward and is a clear demonstration of a shared commitment to working collaboratively on behalf of partners.”

Starbucks and SBWorkers United first announced that they would begin contract negotiations in Sept. 2022, but discussions did not get very far as by April 2023, the National Labor Relations Board claimed that Starbucks had been “failing and refusing” to bargain with the union. Among other issues, the union wanted to negotiate in hybrid meetings over Zoom, which Starbucks does not feel comfortable with – an issue that has come up multiple times and brought negotiations to a standstill in many instances.

Related:How a Starbucks legal case could change the entire union landscape

At the end of 2023, Starbucks released the results of an independent audit, which although it did not find instances of purposeful union-busting, did contend that mistakes were made without clear governance and without “careful respect for rights in limitations.” Then, earlier this month, SBWorkers United organized a record 21 stores in one day — especially notable after unionization votes slowed following the first flurry of activity in 2021 and 2022.

In the announcement of their commitment to collective bargaining, Starbucks emphasized how important all workers (including unionized ones) are to the company:

“Since Laxman became CEO, he’s spent time in our stores, listening to, and learning from, partners” Sara Kelly, executive vice president and chief partner officer of Starbucks, said. “He’s been clear that we are deeply committed to delivering on our partner promise and to restitching the fabric of the green apron for all partners at Starbucks.”

Related:Israel-Palestine conflict-related boycotts put a dent in Starbucks’ Q1 results

Contact Joanna at [email protected]

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About the Author

Joanna Fantozzi

Senior Editor

Joanna Fantozzi is a Senior Editor for Nation’s Restaurant News and Restaurant Hospitality. She has more than seven years of experience writing about the restaurant and hospitality industry. Her editorial coverage ranges from profiles of independent restaurants around the country to breaking news and insights into some of the biggest brands in food and beverage, including Starbucks, Domino’s, and Papa John’s.  

Joanna holds a bachelor’s degree in English literature and creative writing from The College of New Jersey and a master’s degree in arts and culture journalism from the Craig Newmark Graduate School of Journalism at CUNY. Prior to joining Informa’s Restaurants and Food Group in 2018, she was a freelance food, culture, and lifestyle writer, and has previously held editorial positions at Insider (formerly known as Business Insider) and The Daily Meal. Joanna’s work can also be found in The New York Times, Forbes, Vice, The New York Daily News, and Parents Magazine. 

Her areas of expertise include restaurant industry news, restaurant operator solutions and innovations, and political/cultural issues.

Joanna Fantozzi has been a moderator and event facilitator at both Informa’s MUFSO and Restaurants Rise industry events. 

Joanna Fantozzi’s experience:

Senior Editor, Informa Restaurant & Food Group (August 2021-present)

Associate Editor, Informa Restaurant & Food Group (July 2019-August 2021)

Assistant Editor, Informa Restaurant & Food Group (Oct. 2018-July 2019)

Freelance Food & Lifestyle Reporter (Feb. 2018-Oct. 2018)

Food & Lifestyle Reporter, Insider (June 2017-Feb. 2018)

News Editor, The Daily Meal (Jan. 2014- June 2017)

Staff Reporter, Straus News (Jan. 2013-Dec. 2013)

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