Starbucks Corp. (NASDAQ:SBUX) is reportedly navigating heightened union tensions as Workers United launches a bold initiative encouraging labor organizers to apply for barista roles.
The union’s move coincides with Starbucks’ plans to bolster store staffing, potentially turning the company’s hiring spree into an unexpected organizing opportunity, Financial Times reports.
Through a public campaign on social media, Workers United is recruiting “salts”—activists who seek employment with the aim of organizing from within.
Also Read: Starbucks Denies Full China Exit Amid Stake Sale Talks As Market Share Slips To 14%
The initiative comes as the union has successfully won elections at 600 of Starbucks’ more than 10,300 U.S. company-operated locations,
Starbucks executives recently acknowledged that prior staffing cuts weakened customer service. They subsequently announced a plan to expand headcount starting in August.
Last month, the union posted a call for applicants to join a new program that would assist them in landing jobs and organizing efforts from inside the cafés.
This open recruitment for salting reflects a strategic escalation and comes amid ongoing—but tense—contract negotiations with Starbucks. Walkouts over a new dress code last month underscored the strained relationship.
Starbucks criticized the union’s recruitment campaign, urging it to redirect energy toward finalizing a contract.
Sara Kelly, Starbucsk Chief Partner Officer, noted that more than 30 tentative agreements had been reached. She also warned against using resources to insert outside organizers, Financial Times adds.
Cornell labor expert Kate Bronfenbrenner explained that publicizing salting efforts signals sustained union pressure and intent to continue organizing efforts regardless of company resistance.
Meanwhile, Starbucks is denying reports it is considering a full exit from China. A spokesperson told Reuters the company isn't pursuing a full sale.
The Seattle-based company reportedly initiated a formal sale process in May, with Goldman Sachs advising.
Price Action: SBUX shares are trading lower by 0.48% to $90.62 at last check Thursday.
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