Starbucks to increase employee pay to attract workers

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Starbucks has raised salaries three times in 24 months.

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Starbucks is raising the wages of its US employees and making other changes as the company tackles a challenging labor market and as a union effort looms.

The coffee giant announced Wednesday that all of its US employees will be earning at least $15 — and up to $23 — an hour by next summer.

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At the end of January, employees with two or more years of service will receive a 5% increase, while employees with five or more years of service may receive a 10% increase.

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To attract new employees, a $200 recruitment bonus will be offered.

In a letter to employees, Starbucks North America President Rawson Williams said the pay not only supports employees but will also enhance recruitment efforts.

Push for more Starbucks workers union votes

Starbucks has raised salaries three times in 24 months.

Employees of three Starbucks stores in Buffalo, New York, are trying to form a union so they can get more benefits over issues such as store shortages and worker training. The group, Starbucks Workers United, has petitioned the National Labor Relations Board to seek a union vote.

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The company, which has no union in the 8,000 company-owned stores in the US, has said that it respects workers’ right to organize, but does not believe that a union is necessary because of its pro-worker policies.

In an effort to improve working conditions, Starbucks is updating its training guide and adding more training time for workers. It said it also plans to test an app that will let workers sign up for available shifts tailored to their schedules.


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