Starbucks Corporation (NASDAQ:SBUX) plans to dole out a 2% raise to all salaried employees in North America this year, according to Bloomberg. The raise applies to all corporate staff, as well as to workers in manufacturing and distribution. Salaried retail leadership, such as store managers, will also receive the 2% raise.
The standard pay raise across salaried job types is a reversal from a prior policy of letting managers decide raises. The switch is also part of a broad turnaround effort at the company led by CEO Brian Niccol that also includes a focus on returning to a coffeehouse store vibe.
A Starbucks (NASDAQ:SBUX) spokesperson said customers have responded well to the changes in general.
On Wall Street, analysts expect Starbucks (SBUX) to post a slight increase in comparable store sales in FQ4 to break a streak of negative comps. Meanwhile, the company’s decision on selling the China business is another wildcard for investors to watch.
Shares of Starbucks (SBUX) moved 2.3% higher in Monday afternoon trading to move back into positive territory on a year-to-date basis. The dividend yield for new buyers of the stock is 2.69% at the current share price.