BusinessWednesday 05.04.22

Starbucks is proposing a plan to raise wages and benefits for all workers — unless they're unionized or in the process.

David Schultz, the interim Chief executive officer of Starbucks, planned to raise wages and benefits for all the workers unless they are unionized or are in the process.

The coffee chain announced that all the employees including those at the stores which are unionizing would receive the wage raise that was announced in October. But unionized workers should not expect any wage hike that will follow later.

In response to the market conditions, the company is providing more training for new hires, raises for all workers, and enhanced benefits to tenured workers but not for the unionized stores.

The company plans to spend $1 billion on wage hikes, improved training, and store renovation in fiscal 2022.

The first store in Buffalo, N.Y. voted to unionize in December last year. Since then, more than 230 company-owned stores have filed petitions with the National Labor relations Board and around 50 stores have voted to join the union.

Recount Wire