Why Starbucks hasn’t re-joined? Howard Schultz’s story with Harlow and Givan, a CNN interview with Starbucks

In a February interview with CNN’s Poppy Harlow, Starbucks CEO Howard Schultz said he didn’t come back to the company because of the union efforts. He thinks the labor movement is a sign that things haven’t been going well at Starbucks and young people in general.

“It’s my belief that the efforts of unionization in America are in many ways a manifestation of a much bigger problem,” he told Harlow. There is a much bigger problem here than Starbucks.

The union sees its growth, in spite of Starbucks’ muscular fight against it, as a clear sign of worker interest. “The fact that Starbucks workers are continuing to organize and win shows just how much workers need and desire a union,” Starbucks Workers United said in a statement to CNN.

Unionized workers are fighting for guaranteed schedules, protecting benefits for part-time workers and more. They want Starbucks to sign fair election principles which protect workers’ rights to organize without being retaliated against.

Givan said that the CEO has been responding very typically in his opposition to the union. She believes that every corporate leader takes it personally when their workers organize, even if they don’t want to.

Union leadership has accused Starbucks of refusing to come to the bargaining table, threatening their benefits and employing union-busting tactics, claims that the company has denied.

The Health, Education, Labor and Pensions Committee asked Starbucks to testify in upcoming hearings on their compliance with labor laws. Starbucks announced that its public affairs officer will attend instead, and that the chief public affairs officer had declined.

Over the years, Starbucks has cultivated its image as a progressive company, an image that Schultz himself helped establish by offering employees health insurance, tuition reimbursement and company stock.

When Schultz re-joined the company last year, he spent months visiting with employees as part of a listening tour that helped him develop a new roadmap for the company, which he said had “lost its way.”

He said that “some decisions were made that I wouldn’t have made.” When asked for more information, the spokesman said that the training programs would resume in 2022.

But that’s likely not the case, said Rebecca Givan, associate professor of labor studies and employment relations at Rutgers School of Management and Labor Relations.

How do Chinese Unions Stand in the Light of the Covid Restriction? A Comment on the Starbucks Difference between China and the United States

“I’m sure there’s a large number of people who are interested [in unionizing], but afraid,” she said. Many workers are interested in being represented collectively, and that’s according to the general polling data. This is especially true among younger workers, she said.

Starbucks faces some challenges in China, its key growth market, while dealing with the union effort at home. In the three months through January, sales at Starbucks’ Chinese locations open at least 13 months plunged 29% due in part to Covid restrictions.

China is afierce adversary, especially economically, according to Schultz, and he does not believe that China is an enemy of America. In his opinion, there need to be “good, solid geopolitical relations between the Chinese government and the American government.”

Starbucks exited the country last year because of Russia’s attack on Ukraine, and Schultz doesn’t see the company ever going back. “I think Starbucks is gone from Russia for good,” he said.

Source: https://www.cnn.com/2023/02/21/business/howard-schultz-unions/index.html

Partnering at Starbucks: Why do we need a new business? A response to a letter written by K. Narasimhan about the Starbucks merger

In the United States, there’s a chance for a soft landing for the economy. He said he was confident in the US economy. “I don’t see a recession coming.” He believes that inflation has peaked.

What it means to be a partner at Starbucks will be central to the revival of our culture. “I will always be a fierce advocate for our partners and our culture,” he added.

I’ve gotten to experience every part of the business and learn how to wear the green apron. He wrote that he had been welcomed into the store, trained in how to be a barista and helped understand what he does and the challenges and opportunities facing him.

“To keep us close to the culture and our customers, as well as to our challenges and opportunities, I intend to continue working in stores for a half day each month.”

The focus of the company will be on improving the store, customer, and of course, the partner experience, according to the letter written by Narasimhan. He stated that the brand should be further embellished through coffee because they included more digital offerings for customers, moving more quickly while being less wasteful, and expanding globally. Recently, the company introduced a new line of olive oil coffee.

Narasimhan, who is hosting Starbucks’ annual shareholder meeting on Thursday, is taking over the company during a tense period, as it tries to fight off a wave of unionization. The effort has cast a shadow over Starbucks reputation as a progressive company.

Starbucks stated that it is reconsidering all options to obtain further legal review, and that the remedies ordered are not in line with the record.