New York City mayor-elect Zohran Mamdani is calling for New Yorkers to boycott Starbucks (SBUX) to send a “powerful message” to the Seattle coffee chain after some of its baristas walked off the job.
“While workers are on strike, I won’t be buying any Starbucks, and I’m asking you to join us,” Mamdani posted on X. “Together, we can send a powerful message: No contract, no coffee.”
On Thursday, 12,000 unionized Starbucks (SBUX) employees across the U.S. went on strike coinciding with Red Cup Day, the company’s annual holiday promotion. The Starbucks Workers Unite union initiated the strike to address “stonewalling” by Starbucks management pertaining to a new contract providing higher take-home pay, better hours, and address numerous claims of unfair labor practices.
As the striking employees represent less than 4% of Starbucks’ (SBUX) workforce, the stoppage is unlikely to adversely affect the company’s operations.
However, NYC currently has the most Starbucks’ (SBUX) restaurants than any other U.S. city with roughly 200 locations across Manhattan. While it’s unlikely New York’s newly elected socialist mayor will mobilize all New Yorkers against the coffee chain, a protracted strike could amplify reputational pressure in one of its most visible markets.
Consequently, Mamdani’s post weighed on shares and drove SBUX to its session low of $84.55.