Unionization At Starbucks Slows Down: Report

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  • The unionization process at Starbucks Corp SBUX shows signs of slackening as the coffee major prefers to pamper nonunionized cafes.
  • Starbucks, the WSJ reported, has chosen to roll out increased pay and benefits to the nonunionized cafes.
  • The report cited National Labor Relations Board (NLRB) records showing that 12 stores petitioned for representation by the Starbucks Workers United union in September compared to 71 in March.
  • RelatedStarbucks Unionized Workers Sue Coffee Chain For Filing Assault, Kidnapping Charges After Wage Hike Request
  • The lowest number of eight petitions were recorded in August since the first Starbucks cafe union voting happened in December.
  • Since the first successful pro-unionization votes at Buffalo, New York cafes, NLRB has certified unions in 243 of Starbucks’ 9,000 U.S. stores.
  • The coffee chain has been accused of prioritizing profitability over the workers. The report cited some Starbucks baristas that the company’s extension of new benefits to nonunion stores has deterred other employees from unionizing, as has the company’s dismissals of some pro-union workers this year. 
  • In response to the unionization trend, Starbucks said it would invest millions of dollars in addressing employee complaints.
  • "It gets to a point where it feels like you are trudging through mud to get to a finish line, and it takes a special person to do that,” the report quoted Richard Minter, national organizing director of Workers United.
  • Also ReadStarbucks Plunges As Xi Jinping Consolidates Power: Here's What's Going On
  • Price Action: SBUX shares are trading lower by 0.90% at $86.32 in premarket on the last check Monday.
  • Photo Via Wikimedia Commons
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