Starbucks boosting barista pay

By Mike Sunnucks | Rose Law Group Reporter

Starbucks Coffee Co. is promising raises for current workers and higher pay for its baristas as employers across the U.S. economy struggle to hire and retain workers.

The Seattle-based coffee chain — which has an education partnership with Arizona State University — announced Thursday new steps to increase workers’ pay and attract new staff.

Starbucks announced that employees with two or more years on the job will get up to a 5% raise while staff with five or more years tenure will get as much as a 10% raise.

Existing employees who refer job applicants who are hired are eligible for $200 bonuses.

The coffee chain also says it is continuing to increase pay. Starbucks said by next summer the average hourly pay for U.S. workers will be approaching $17 per hour.

The company announced in December it was “committed to raising its wage floor to $15 per hour.

Starbucks officials said hourly wages for baristas will range between $15 and $23 per hour by next summer.

Starbucks also said it is expanding its training efforts for new baristas and employees including more training stores and developing new apps to help with staff scheduling.

“As Starbucks celebrates our 50th anniversary we are reminded that our heritage is based on the simple concept that our green apron partners are the heartbeat of Starbucks and that success is best when it’s shared,” said Kevin Johnson, Starbucks president and chief executive officer. “Today, we are announcing another historic investment in our partners, knowing that when we take care of our partners, they take care of our customers, and all stakeholders benefit. This is how we continue to build a great and enduring company. One that is committed to the ideal that doing good for one another – and for society – is good for business over the long-term.”

Employers across the country and industries have been struggling to hire and keep workers — especially those in frontline and often lower paying service jobs.

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October 2021