Unionized Starbucks Workers Were Allegedly Unlawfully Denied Raises

Starbucks unlawfully denied unionized workers raises that it provided to its nonunionized employees, the National Labor Relations Board (NLRB) maintained in an Aug. 24 complaint. The company denies any labor law violation. We've gathered articles on the news from SHRM Online and other media outlets.

Announced Raises

Starbucks CEO Howard Schultz announced the raises and doubled training hours in May. But he said the changes wouldn't apply to recently unionized stores or sites in the process of unionizing. "We do not have the same freedom to make these improvements at locations that have a union or where union organizing is underway," he said. 

The NLRB complaint also maintained that the company unlawfully withheld career growth opportunities and faster sick-time accrual benefits. An administrative law judge is scheduled to hear the matter Oct. 25.

(The Washington Post)

Remedies Sought

The complaint asks the judge to require Starbucks to retroactively give unionized workers the increased wages and benefits and provide a letter of apology. The raises took effect Aug. 1. The NLRB also requested a nationwide electronic notice posting for Starbucks employees, a video of Schultz reading the posting and a nationwide training session for managers about federal labor law.

(The Hill)

Union's Permission to Raise Wages

The union said it gave Starbucks permission to raise wages and improve benefits for its unionized employees. Starbucks responded this isn't how collective bargaining works. Starbucks said in a letter that it is "unwilling to remove isolated subjects from the bargaining process" merely because that's what the union wants.

(Fast Company)

Employees Involved in Unionizing Efforts Fired

More than 85 Starbucks employees who were involved in organizing efforts have been fired in recent months, according to the workers group Starbucks Workers United. The NLRB has issued 21 official complaints against the company, encompassing 81 charges and 548 allegations of alleged labor law violations.

Starbucks denied any retaliation. A spokesperson said, "These individuals are no longer with Starbucks for store policy violations. A partner's interest in a union does not exempt them from the standards we have always held. We will continue enforcing our policies consistently for all partners."

(The Guardian)

Two Stores Closed

Starbucks recently closed a store in Seattle and one in Kansas City, Mo. The union said the company was retaliating for organizing activities, which the company denied. The Kansas City site, where union vote results are pending, was shut due to safety issues, the company said. The Seattle store, where employees have voted to organize, will close and reopen operated as a licensed location by a nearby grocery store. The company will work with the union to seek an agreement that gives employees at the Seattle store the opportunity to transfer to other stores.

(CNBC)

Company Ordered to Rehire Fired Union Activists

A federal district court ordered Starbucks on Aug. 18 to rehire seven workers that it fired after learning about their union-organizing efforts at a Memphis, Tenn., store, according to the NLRB. In a statement, Starbucks said, "We strongly disagree with the judge's ruling in this case. These individuals violated numerous policies and failed to maintain a secure work environment and safety standards." The company plans to appeal the decision.

(SHRM Online)