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Starbucks Union Rejects 2% Annual Raise Proposal, Citing Unmet Demands

Workers United calls for stronger commitments on pay, hours, and benefits as negotiations with Starbucks remain stalled.

A worker wears a Starbucks Workers United bandana as workers and supporters picket in front of a Starbucks Reserve Roastery in Seattle, Washington, U.S., December 24, 2024.  REUTERS/David Ryder
A Starbucks store sign is seen in New York City, U.S., February 25, 2025. REUTERS/Shannon Stapleton
A pro-union sign covers a corporate logo in the window of a Starbucks location during a strike and rally organized by Starbucks Workers United in Seattle, Washington, U.S., March 11, 2025. REUTERS/David Ryder
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Overview

  • Union delegates representing over 550 Starbucks stores voted 81% against the company's 2% annual raise guarantee proposal.
  • Workers United criticized the offer for lacking guaranteed weekly hours, improved healthcare benefits, and immediate pay increases.
  • Starbucks defended its proposal, emphasizing that the 2% raise is a minimum floor and highlighting total compensation averaging over $30 per hour with benefits.
  • Strikes and federal labor complaints have resumed, with the union alleging Starbucks is not negotiating in good faith.
  • Mediated negotiations, ongoing since February 2025, have yet to resolve the impasse over core economic issues.