Starbucks: Location closures and elimination of roles
Unionization, Closures, and Labor Tactics
- Many commenters read the announcement as implicitly targeting unionizing or unionized stores, despite the official framing of “portfolio optimization.”
- Anecdotes describe:
- Stores where union drives were allegedly “nipped in the bud” via retaliation or subtle pressure.
- A fully unionized student-heavy store that later voted to decertify, in part because nobody wanted to invest time in contract maintenance and corporate was offering better benefits to non-union stores.
- Claims that corporate then refused to extend those better benefits to union shops, seen as classic union-busting.
- The closure of the flagship Seattle Reserve is widely viewed with suspicion given its popularity and symbolic role, and some tie this to unionization as well.
Job Cuts and “Partner” Terminology
- The memo’s “non-retail partners” are identified as corporate/support staff. About 900 roles will be eliminated; some open positions will be closed.
- Multiple commenters criticize calling employees “partners,” arguing it masks unequal power and makes layoffs sound more palatable.
- Discussion notes a broader corporate trend of euphemistic language (“partners,” “people operations,” “individual contributors”) that obscures hierarchy and responsibility.
What’s Actually Changing (Per Thread)
- North American coffeehouse count to decline ~1%, ending with ~18,300 locations in US/Canada.
- Corporate/support roles are directly hit; store staff at closed locations are promised transfers where possible, severance otherwise.
Coffee Quality, Product, and Experience
- Strong split on the product:
- Critics call drinks “sugar bombs,” beans over-roasted, and quality mediocre versus local shops or European cafes.
- Defenders emphasize consistency, availability, drive-thrus, mobile ordering, airport presence, and clean bathrooms over taste.
- Many see Starbucks more as a dessert/energy-drink chain or “McDonalds of coffee” than a specialty coffee shop.
Starbucks as Third Place / Workspace
- Several value Starbucks as a laptop-friendly “third place” with power outlets, Wi‑Fi, and tolerance for long stays on a single drink.
- Others resent laptop workers “office-ing” in cafes and welcome time limits at independents.
- Some note the post-COVID decline of the old “cozy coffeehouse” vibe and removal of seating in some locations.
Executive Pay and Governance
- The CEO’s ~$95M compensation is highlighted as jarring alongside layoffs.
- Suggestions include sharply reducing pay or requiring explicit shareholder approval; one calculation frames it as only a few cents per coffee, which others implicitly see as missing the fairness issue.