Workers picket in front of a Starbucks in the Brooklyn borough in New York, U.S. December 23, 2024. REUTERS/Eduardo Munoz
Starbucks Strike Expands Nationwide, Largest Work Stoppage to Date
The strike at Starbucks expanded to over 300 stores across the United States on Tuesday, with more than 5,000 workers walking off the job. The five-day strike, which began Friday, is scheduled to end on Christmas Eve and has been described by Starbucks Workers United (SWU) as the largest ever in the company’s history.
Strike Scope and Impact
Starbucks operates more than 10,000 company-owned stores in the U.S., with approximately 98% remaining open despite the strike. The company confirmed that around 170 locations were closed on Tuesday, while the union claimed that 290 stores were fully shut down and over 300 stores participated in strikes across 45 states.
The union, representing employees at 525 stores nationwide, reported striking activity in major cities including New York, Los Angeles, Boston, and Seattle. “These strikes are an initial show of strength, and we’re just getting started,” an Oregon barista stated in a union-issued statement.
Reasons Behind the Strike
The walkout follows stalled negotiations between Starbucks and SWU over wages, staffing, and scheduling. The union rejected a company offer of no immediate wage increases and a 1.5% pay raise guarantee for future years, deeming it insufficient. The workers’ group also criticized Starbucks for failing to present a “serious economic proposal.”
Starbucks maintains that it is open to further negotiations, though it accused union delegates of prematurely ending a previous bargaining session.
Economic and Operational Effects
Starbucks has declined to comment on the overall impact of the strike, initially projecting it to be “very limited.” Sean Dunlop, an analyst at Morningstar, echoed this sentiment, noting there would likely be “no explicit topline impact” on Starbucks’ financial performance in the near term.
Despite these claims, the growing scale of the strike underscores rising tensions between the company and its unionized workforce, highlighting unresolved grievances over workplace conditions and pay.
Outlook
With the strike set to continue through the busy holiday season, Starbucks and its workers face mounting pressure to return to the bargaining table. As negotiations stall, SWU has signaled its readiness to escalate its efforts, suggesting potential for further disruptions in the future.
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