Amidst a flurry of activity outside a Starbucks in Burbank, California, workers wielded signs and chants as they took to the picket line on December 20, 2024, demanding collective bargaining agreements. This scene, captured by Frederic J. Brown for AFP via Getty Images, is unfolding in Starbucks locations across the nation.
Approximately 5,000 Starbucks baristas are now participating in a strike that has spread to more than 300 stores across 45 states, perfectly timed to hit during the company’s bustling holiday period. While this group represents just 3% of all Starbucks sites in the U.S., it marks a significant escalation from the initial protests that started in only three cities last week.
Orchestrated by the Service Employees International Union alongside Starbucks Workers United, the strike aims to shine a bright light on alleged unfair labor practices and deadlocked contract negotiations affecting thousands of workers. The employees are advocating for a significant pay hike—increasing Starbucks’ minimum hourly wage by up to 64%, with a total proposed rise of 77% over the duration of a prospective three-year contract.
Lynne Fox, president of the Workers Union, voiced the collective frustration, stating, “Despite Starbucks’ claims to value their partners, we cannot accept a lack of immediate wage investment and unresolved unfair labor practices.” She emphasized that baristas recognize their worth and won’t settle for a deal that fails to respect them as genuine partners.
Meanwhile, Starbucks management has addressed employees with a memo dismissing the union’s demands as “unsustainable.” The company highlighted its benefits package, stating that workers logging at least 20 hours a week earn about $30 an hour on average when combining pay and benefits. Sara Kelly, Starbucks’ executive vice president, mentioned, “The union chose to step away from negotiations last week. We’re prepared to resume talks whenever they return to the table.”
Earlier enthusiasm for Starbucks’ stock surged as the company appointed former Chipotle CEO Brian Niccol to head the coffee giant back in August. However, recently, share prices have taken a dip, reflecting broader market trends. Niccol has committed to negotiating earnestly with the union, despite a history at Chipotle that included at least two National Labor Relations Board settlements with employees.
