The National Labor Relations Board sued Starbucks over the coffee chain’s refusal to rehire 33 workers as it reorganized three downtown Seattle stores, including its flagship store in Pike Place Market. The Pike Place Starbucks store is a tourist draw that often has a long line of people waiting to be served.
The coffee business seems to be standing firm. It’s position effects other stores. By refusing to rehire 16 of the 22 workers there, Starbucks “chilled employees’ support for the union” at the other two stores “by sending a clear message about what would happen if they unionized,” the NLRB said.
There is now a petition which seeks an injunction to block Starbucks from firing or disciplining workers, denying them higher wages and benefits, or forcing them to reapply for jobs because of their union activities. In the petition filed in Seattle federal court, the agency called Starbucks’ plan to reorganize the stores into a “Heritage District.”
Up to 73 workers will have to reapply for their jobs. This is considered an illegal response for unionizing. Starbucks said workers at the stores can seek to unionize through an NLRB-supervised election. It said the agency’s proposed remedies “run contrary to the interests of our (employees) and threaten the hometown experience we offer our customers. We look forward to defending the establishment of our Heritage District.”
Starbucks ended its last fiscal year with 15,873 U.S. stores. That breaks down into 9,265 company-operated and 6,608 licensed stores. Starbucks’ corporate stores employ about 248,000 people and is considered a major asset to Seattle’s economy.
The underlying case for this matter is Hooks v Starbucks Corp. It is in the U.S. District Court, Western District of Washington, No. 23-01000. It also seeks to require Starbucks to offer jobs, with back pay and benefits, to the 33 people it let go.
