Sponsored By

Starbucks settles its first legal complaint with unionStarbucks settles its first legal complaint with union

The first legal settlement between Starbucks and SBWorkers United required Starbucks to erase disciplinary actions from employee records at the New York City Roastery

Joanna Fantozzi, Senior Editor

October 3, 2022

3 Min Read
Nation's Restaurant News logo in a gray background | Nation's Restaurant News

Joanna Fantozzi

Starbucks has settled its first National Labor Relations Board complaint with unionized workers — the first of 20+ legal complaints that are currently being considered — concluding with an agreement between the Seattle-based coffee giant and the unionized New York City Roastery location, according to SBWorkers United.

The initial complaint cited unfair labor practices — including retaliatory actions against union leaders — and according to SBWorkers United, the legal settlement requires Starbucks to remove “certain unwarranted disciplinary actions from employee records” and post the notice of the settlement in the employee break room at the Roastery for at least 60 days. However, the settlement does stipulate that it “does not constitute an admission [by Starbucks] of wrongdoing, liability or violation of law.”

“I think this sets an example for everyone to see that they don’t have to get rolled over by big corporations,” New York City roastery employee Joel Foote said in a statement released by SBWorkers United. “Good workers should not be made to feel like delinquents and intimidation is not a practice I support so I’m glad we won the settlement.”

The Roastery, which has been unionized since an NLRB election in April 2022, is one of 245 Starbucks stores nationally that have voted to unionize.

Related:How Starbucks is handling unions under new control

“We’re pleased Workers United agreed that there was no wrongdoing and has withdrawn the charges,” said a Starbucks spokesperson, referring to a clause from the settlement expressly denying wrongdoing. “We look forward to meeting them at the bargaining table in good faith to move the process forward.”

On the same day that the legal settlement was announced, Starbucks released an update to its family benefits for all employees on a company benefits plan, including those who are unionized. The Family Expansion Reimbursement Program is meant to help employees that are looking to expand their families through surrogacy or adoption, and reimbursement of related expenses have now increased from $30,000 maximum to $40,000 maximum, among other updates to the program.

While this update is not likely a direct response to the legal settlement, Starbucks has been trying to ramp up employee benefits and updates in recent months as the union movement has gained momentum.

“These updated benefits demonstrate that at the heart of the reinvention of the company is investing in partners well-being so they can thrive at work and as individuals as Starbucks has always strived to do,” Starbucks said in a statement.

Related:What Chipotle's union means for the industry

Starbucks is not the only party that has been busy working on worker benefits. SBWorkers United just published its requests for unionized workers’ scheduling and dress codes, which will be addressed in union contract negotiations that have only recently begun.  

The union’s language requests that Starbucks require no dress code, other than the iconic green apron and clothing that follows “local, state and federal health and safety standards” and will provide or reimburse employees for “two pairs of non-slip shoes per year.”

View post on X

The second SBWorkers United proposal, which covers the right to transfer and pick up shifts, allows union workers to pick up shifts from other stores, requires a written explanation from Starbucks if a request to pick up or switch a shift is denied, and allows for the temporary transfers of staff between stores, among other demands.

Contact Joanna at [email protected]

Find her on Twitter: @JoannaFantozzi

Read more about:

Starbucks

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)

Subscribe Nation's Restaurant News Newsletters
Get the latest breaking news in the industry, analysis, research, recipes, consumer trends, the latest products and more.