Starbucks Workers United union holds NYC rally during strike
NEW YORK – Starbucks Workers United held a rally in front of the Empire State Building on Thursday as its open-ended strike entered its third week and there was no sign of a solution.
In addition to the throng of holiday shoppers and tourists, hundreds of pickets gathered outside the famous landmark, which also houses a flashy three-story Starbucks Reserve location and the company’s regional headquarters.
Members of other unions, such as the AFL-CIO and the Service Employees International Union of Workers United, protested alongside baristas, chanting “No coffee, no contracts” and “What’s gross? Don’t bust the union” among speakers.
“Their fight is actually a fight for all of us, for workers across the country, for companies like Starbucks, where workers across the country are fed up with the status quo, and they’re not going to take it anymore,” SEIU President April Verrett told CNBC.
12 demonstrators who blocked the entrance of the building were arrested.
Baristas launched a strike on Starbucks Red Cup Day last month in an effort to get new offers from the company that address the most pressing issues to finalize the contract. These include better working hours, higher wages and settling hundreds of unfair labor practice allegations against Starbucks.
Of the 145 locations participating in the strike, 55 remain closed, according to a company spokesperson.
The two sides were not in active negotiations to reach a contract after talks between them broke down late last year. The strikes have not changed this fact so far.
While the strike added uncertainty to Starbucks’ busy holiday season, the company said its sales were not affected. CEO Brian Niccol told employees were told that Red Cup Day was the strongest day in history.
A successful holiday season will be key to the chain’s recovery under Niccol. Starbucks broke a nearly two-year streak of same-store sales declines in the most recently reported quarter. The company said past strikes affected less than 1% of its stores.
The rally in New York City took place after the company paid $38.9 million to settle violations of the city’s Fair Workweek Act. Other large restaurant employers, chipotleStarbucks has previously run afoul of the law, which it said was “very challenging” to navigate.
The city’s Department of Consumer and Worker Protection found Starbucks had violated half a million laws since 2021. The Fair Workweek law requires regular week-to-week planning, requires schedules to be provided 14 days in advance, and says working hours cannot be reduced by more than 15% without legitimate business reasons.
Speaking at Thursday’s rally, DCWP Commissioner Vilda Vera Mayuga said the timing of the record-breaking agreement with the ongoing strike was coincidental.
“While NYC laws remain unchanged and complex, our focus remains unchanged; we are committed to creating the best business in retail and ensuring our practices comply with all laws,” Starbucks said in a statement.
The city’s current Mayor Eric Adams and Mayor-elect Zohran Mamdani have rallied behind the striking workers. Mamdani with baristas in Brooklyn earlier this week. Bernie Sanders joined I-Vt.
Both Starbucks and the union blamed the other for failing to reach a bargaining agreement and claiming they were ready to talk when the other was ready. The two sides reached a mediation agreement in February, and hundreds of baristas delegates rejected The economical package offered by Starbucks in April.
The company announced it will invest $500 million to improve employee experience as part of its “Return to Starbucks” strategy. This investment includes upgrading scheduling technology and adding more baristas to staff.
“As we have said before, 99% of our 17,000 U.S. locations are open and welcoming customers, including those where the union publicly stated they would strike but never closed or have since reopened. Whatever the union’s plans, we do not anticipate meaningful disruption. We are ready to talk when the union is ready to return to the bargaining table,” spokeswoman Jaci Anderson said in a statement. he said.
