Starbucks U.S. employees to get at least 5% raise
All Starbucks store employees and managers in the U.S. are in for at least a 5% raise starting in October as part of a series of workplace changes announced by CEO Howard Schultz on Monday.
Employees with at least two years of service will also now be eligible for double the amount of stock award in the company, which is doled out each November as an equity reward that turns into shares of Starbucks stock after a specific time period. All employees are eligible for the stock program up until the director level.
Your Starbucks fix is about to get more expensive
Starbucks CEO Howard Schultz says that the wage increase combined with the new stock award policy means compensation will increase between 5% and 15%. And the raises will keep coming.
"We remain committed to doing more each year to invest in our partners as part of our long-range, strategic plan," Schultz wrote in a letter to employees that was posted on Starbucks' website.
The changes come amid a longstanding fight for a $15-an-hour minimum wage for retail and restaurant workers. Spokesman Reggie Borges said Starbucks does not break out wages but said the company pays above minimum wage in every market. Seattle, where Starbucks is headquartered, is in the process of phasing in a $15 minimum wage.
Schultz also outlined coming changes to the company's dress code for store employees, benefits program and plans to better schedule employees in concert with benefits eligibility.