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Home News Workforce

Starbucks Adds New Incentives For Non-Union Employees

The coffee giant has already incorporated new incentives to discourage more stores from unionizing, including increased hourly pay for non-union workers last month.

Aayat AlibyAayat Ali
September 13, 2022
in Workforce
Reading Time: 2 mins read
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Starbucks Adds New Incentives For Non-Union Employees

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In another effort to keep further employees from unionizing, Starbucks has introduced new incentives for non-union members. 

This week, Starbucks revealed a new program that helps students repay their loans and build a savings account. 

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The coffee giant has already incorporated new incentives to discourage more stores from unionizing, including increased hourly pay for non-union workers last month.   

“We believe the recent wage hikes… are having an adverse effect on the labor unions, with the number of stores filing for a vote declining to the lowest level all year in August,” said Peter Saleh, an analyst at BTIG. 

Tensions between Starbucks and the National Labor Relations Board have heightened in recent months, with the organization claiming that the company has been participating in union-busting tactics and unfair treatment of employees who choose to organize. 

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Although the coffee chain spent around $1 billion to improve employee benefits during the 2022 fiscal year, experts believe that Starbucks still has enough reserves to further expand its offerings. 

“They have plenty of liquidity to do that without hampering the dividend,” said Brian Yarbrough, an analyst at Edward Jones. 

Unionization has been on the rise in recent years, with a recent White House report showing that 68% of Americans approve of labor unions, the highest level seen since 1965.  

Source: Reuters
Tags: Workforce
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Aayat Ali

Aayat Ali

Aayat is an editor for the Daily Digest based in Lexington, Kentucky. She has worked with local coworking spaces since August of 2017 and enjoys taking her firsthand knowledge to write about the fascinating, constantly evolving world of flexible workspaces.

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