New Starbucks CEO Brian Niccol commits to working with union

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New Starbucks CEO Brian Niccol commits to working with union

On April 7, 2022, in Chicago, a Starbucks employee wore a T-shirt and buttons to promote the formation of a union.

John J. King | Chicago Tribune | Tribune News Service | Getty Images

Starbucks Chief Executive Brian Niccol said the coffee chain is committed to negotiating in good faith with the union that represents many of its baristas and the two sides are working on a labor agreement.

“I deeply respect the right of our partners to choose to be represented by a union through a fair and democratic process,” Nicol wrote in a letter to the union obtained by CNBC on Tuesday. “If our partners choose to be represented, I am committed to to ensure we engage constructively and honestly with unions and the partners they represent.”

he is responding to a Letter from Starbucks Workers United The negotiating delegation was sent out a day before another round of talks between Starbucks and unions. The two sides are negotiating a framework that will form the basis of collective bargaining agreements between individual stores and the company. The union is pushing for fair scheduling, a living wage and racial and gender equity, the delegation said in the letter.

“We know that many of your loyal customers, as well as future generations of customers, have a vested interest in the outcome of our negotiations and the underlying agreement reached,” the group wrote in a letter to Nicholl.

Three years ago, Starbucks baristas began unionizing under the United Workers Union, an affiliate of the Service Employees International Union. For two and a half years, the coffee giant has tried to stifle the union push, resulting in headlines, social media and court battles.

But a turning point came six months ago, when they agreed to work together after mediation to resolve a lawsuit stemming from the union's social media posts.

Nicole joined Starbucks a few weeks ago and is new to the union discussion. During his previous tenure as CEO Chipotle Mexican BBQOnly one location in Lansing, Michigan, successfully unionized. Last year, the taco chain agreed to pay $240,000 to former employees of a restaurant in Augusta, Maine, as part of a settlement that closed the restaurant after workers tried to unionize. Chipotle denies any wrongdoing.

Today, the union represents more than 490 Starbucks U.S. cafes and more than 10,500 employees. The company has more than 16,700 branches in the United States, more than half of which are owned by the company.

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