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Starbucks lays off 1,100 corporate employees globally

SAN DIEGO, CALIFORNIA - JANUARY 31: The Starbucks Coffee corporate logo is displayed on a sign at their shop on January 31, 2025 in San Diego, California. (Photo by Kevin Carter/Getty Images)
Kevin Carter
SAN DIEGO, CALIFORNIA - JANUARY 31: The Starbucks Coffee corporate logo is displayed on a sign at their shop on January 31, 2025 in San Diego, California. (Photo by Kevin Carter/Getty Images)
SOURCE: Kevin Carter
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Starbucks lays off 1,100 corporate employees globally
Starbucks plans to lay off 1,100 corporate employees globally as new Chairman and CEO Brian Niccol streamlines operations.In a letter to employees released Monday, Niccol said the company will inform employees who are being laid off by mid-day Tuesday. Niccol said Starbucks is also eliminating several hundred open and unfilled positions.맥스카지노Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration,맥스카지노 Niccol wrote in the letter.Starbucks has 16,000 corporate support employees worldwide, but that includes some employees who aren't impacted, like roasting and warehouse staff. Baristas in the company's stores are not included in the layoffs.Niccol said in January that corporate layoffs would be announced by early March. He said all work must be overseen by someone who can make decisions while the the Seattle coffee giant reduces the complexity of its structure and eliminates silos within the company that slow communication.맥스카지노Our size and structure can slow us down, with too many layers, managers of small teams and roles focused primarily on coordinating work,맥스카지노 Niccol wrote.Starbucks hired Niccol last fall to turn around sluggish sales. He has said he wants to improve service times 맥스카지노 especially during the morning rush 맥스카지노 and reestablish stores as community gathering places.Niccol is also cutting items from Starbucks' menu and experimenting with its ordering algorithms to better handle its mix of mobile, drive-thru and in-store orders.Starbucks' global same-store sales, or sales at locations open at least a year, fell 2% in its 2024 fiscal year, which ended Sept. 29. In the U.S., customers tired of price increases and growing wait times. In China, its second-largest market, Starbucks faced growing competition from cheaper rivals.Starbucks shares were flat in premarket trading Monday.

Starbucks plans to lay off 1,100 corporate employees globally as new Chairman and CEO Brian Niccol streamlines operations.

In a letter to employees released Monday, Niccol said the company will inform employees who are being laid off by mid-day Tuesday. Niccol said Starbucks is also eliminating several hundred open and unfilled positions.

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맥스카지노Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration,맥스카지노 Niccol wrote in the letter.

Starbucks has 16,000 corporate support employees worldwide, but that includes some employees who aren't impacted, like roasting and warehouse staff. Baristas in the company's stores are not included in the layoffs.

Niccol said in January that corporate layoffs would be announced by early March. He said all work must be overseen by someone who can make decisions while the the Seattle coffee giant reduces the complexity of its structure and eliminates silos within the company that slow communication.

맥스카지노Our size and structure can slow us down, with too many layers, managers of small teams and roles focused primarily on coordinating work,맥스카지노 Niccol wrote.

Starbucks hired Niccol last fall to turn around sluggish sales. He has said he wants to improve service times 맥스카지노 especially during the morning rush 맥스카지노 and reestablish stores as community gathering places.

Niccol is also cutting items from Starbucks' menu and experimenting with its ordering algorithms to better handle its mix of mobile, drive-thru and in-store orders.

Starbucks' global same-store sales, or sales at locations open at least a year, fell 2% in its 2024 fiscal year, which ended Sept. 29. In the U.S., customers tired of price increases and growing wait times. In China, its second-largest market, Starbucks faced growing competition from cheaper rivals.

Starbucks shares were flat in premarket trading Monday.