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Starbucks to Pay $38.9 Million in Record NYC Worker-Protection Settlement Over Scheduling Violations

A three-year city investigation documented more than 500,000 Fair Workweek breaches at nearly all Starbucks locations since 2021.

Overview

  • More than 15,000 hourly employees will receive about $35.5 million in restitution, typically $50 for each week worked between July 4, 2021 and July 7, 2024.
  • Starbucks will pay roughly $3.4 million in civil penalties to New York City and must comply with the Fair Workweek law going forward.
  • The agreement guarantees reinstatement opportunities for workers laid off during recent store closures across the city.
  • Restitution checks will be mailed this winter, and workers who experienced violations after July 7, 2024 can seek additional relief by filing complaints with the DCWP.
  • Starbucks says it supports the law’s intent but calls compliance challenging, as organizing and strikes by workers continue.