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Starbucks Shuts 400+ U.S. and Canada Stores, Cuts 900 Jobs in $1 Billion Overhaul

The reset led by CEO Brian Niccol aims to revive in‑store traffic by repositioning cafés as a service‑focused third place after a prolonged sales slump.

Overview

  • The North American footprint will shrink about 1% to roughly 18,300 locations, with 1,000 stores slated for remodels.
  • Starbucks is moving away from mobile‑order‑only formats and will convert some Pick Up sites into full cafés.
  • Closures are concentrated in certain markets, including about 54 locations in New York City, according to local reports.
  • The company has cut menu variety by about 30%, expanded no‑sugar and protein options, and brought back in‑store touches to speed service and improve the experience.
  • Starbucks United alleges some closed stores had union activity, a claim not confirmed by the company, and Starbucks has not released a comprehensive closure list.