Starbucks Tells Workers to Come to Office or Get Fired

Companies and Brands

Published: October 29, 2024 7:10 am

24/7 Wall St. Insights

Starbucks Corp. (NASDAQ: SBUX) has threatened to fire corporate workers who do not return to the office.
Meanwhile, its CEO commutes to work by private jet.
Also: 2 Dividend Legends to Hold Forever.

Starbucks Corp. (NASDAQ: SBUX), the deeply troubled coffee store company, told its corporate staff to come to the headquarters three days a week or get fired. Notably, its CEO Brian Niccol, who is off to a rocky start, lives in Newport Beach, California, and commutes 1,000 miles to the headquarters by private jet.

According to Bloomberg, a new “standardized process” ensures headquarters workers follow the rules. If they don’t, the penalty is “up to, including separation.”

Starbucks has enough employee problems that antagonizing people at the headquarters seems unnecessary. Its store workers are upset because many believe they are overworked as some customers order remotely and pick up orders at stores while walk-in customers ask for orders simultaneously. Earlier labor battles with former CEO Howard Schultz have already hit morale. As local workers unionize, Starbucks will have a labor cost problem.

It does not help morale that Starbucks workers get stock grants under a program called “Bean Stock.” Regardless of the time the grants are made, these workers get to watch the stock sink. Starbucks shares are up only 2% year to date, while the S&P 500 is 23% higher.

Starbucks has a long list of troubles. However, looking through just one lens, the return to work policy has to be galling. Niccol gets to take a plane to work, and headquarters workers don’t.

10 Reasons to Buy Dutch Bros Stock Now

Cash Back Credit Cards Have Never Been This Good

Credit card companies are at war, handing out free rewards and benefits to win the best customers. A good cash back card can be worth thousands of dollars a year in free money, not to mention other perks like travel, insurance, and access to fancy lounges. See our top picks for the best credit cards today. You won’t want to miss some of these offers.

Flywheel Publishing has partnered with CardRatings for our coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.