Starbucks (NASDAQ:SBUX) baristas at unionized stores across the United States are rallying as a strike authorization vote that started on October 24 continues. The vote organized by Starbucks Workers United will run through early November.
Starbucks Workers United pushed the strike authorization vote after contract negotiations with the company stalled over issues that include staffing, pay, and allegations of unfair labor practices. The union has launched 70 rallies and picketing events in 60 cities nationwide from October 24 to November 2, aiming to build support for a possible strike and highlight worker demands.
Starbucks (NASDAQ:SBUX) recently announced plans to close about 500 stores, including 59 unionized locations, and lay off around 900 employees as part of a restructuring initiative under CEO Brian Niccol. The company has said it remains willing to negotiate and argues it provides top retail employment, with average hourly compensation exceeding $30 in pay and benefits, but claims the union walked away from talks.
The strikes could take place around Red Cup Day at Starbucks (SBUX), which is an annual event marking the unofficial start of the holiday sipping season. On this day, customers who purchase any holiday drink receive a free, limited-edition reusable red holiday cup, while supplies last. Red Cup Day is typically a high-profile event that is eagerly anticipated by Starbucks (SBUX) customers.
Red Cup Day is scheduled for November 13.