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Starbucks workers union launches strike in at least 40 cities on chain's key holiday sales day
StarbucksStarbucks(US:SBUX) CNBCยท2025-11-13 10:03

Core Points - Starbucks Workers United initiated an open-ended strike on Red Cup Day, impacting over 1,000 baristas in more than 65 stores across at least 40 cities [1] - The strike follows a failure to reach a collective bargaining agreement, with the union demanding better hours, higher wages, and resolution of unfair labor practice charges against Starbucks [3][4] - The strike poses a risk to Starbucks' business during the crucial holiday season, which is vital for the company's performance turnaround under new CEO Brian Niccol [2] Company and Union Dynamics - Starbucks and the union have not engaged in active negotiations since talks broke down late last year, despite entering mediation in February [4] - Workers United claims to represent over 12,000 workers across more than 550 stores, while Starbucks states the union represents only 9,500 workers at 550 cafes [4] - The union is prepared to escalate the strike, threatening to make it the largest and longest in the company's history if demands are not met [5] Company Response - Starbucks maintains that it offers competitive pay and benefits, averaging over $30 per hour for hourly partners, and has expressed willingness to negotiate [7] - The company has stated it is prepared to serve customers across its nearly 18,000 stores during the holiday season despite the strike [6] - Starbucks' Chief Partner Officer emphasized the company's commitment to bargaining and expressed hope for a swift resolution if the union returns to the negotiating table [8]