Starbucks Wage Details
On August 1, average hourly pay at Starbucks will be nearly $17/hour nationally. All partners hired on or before May 2 will get either a 3% raise or $15/hour, whichever is higher.
Partners with 2-5 years of service will receive at least a 5% increase or move to 5% above the market start rate, whichever is higher. Partners with 5-plus years of service will receive at least a 7% increase or move to 10% above the market start rate, whichever is higher.
On August 1, Starbucks will double planned investments in store manager, assistant store manager and shift manager pay for leaders hired on or before May 2. These are one-time investments in base pay in addition to the planned FY23 raises this fall.
Starbucks will also make investments in equipment and technology enhancements, including resolving all “non-critical” repair and maintenance immediately, moving to upgrade all in-store iPads with new models.
The retailer also announced additional and more effective training, including doubling the amount of training time for new baristas beginning June 21, doubling the amount of training time for new shift supervisors beginning August 30, and more training for baristas and supervisors already in role. Enhancements also include a redesigned “First Sip” barista training program, a newly designed shift supervisor program and more hands-on practice time for baristas.
As previously announced, Starbucks is moving all U.S. store partners to a $15/hour floor this summer, effective August 1, and also adding incremental increases that will apply to all U.S. store partners, while recognizing and rewarding tenure (see sidebar).
Schultz said partners at Starbucks U.S. company-operated stores will receive these wages and benefit enhancements, but not those at unionized stores. This covers more than 240,000 Starbucks partners and roughly 8,800 Starbucks stores across the country.
“The Starbucks unionizing effort is remarkable, not only because of the stunning speed at which it has spread — more than 40 Starbucks stores have voted to unionize — but also because food and drink establishments have traditionally been among the least unionized workplaces in the U.S.,” NPR noted on May 1.
“We do not have the same freedom to make these improvements at locations that have a union or where union organizing is underway,” Schultz said. “Partners in those stores will receive the wages increases that were announced in October 21, but Federal law prohibits us from promising new wages and benefits at stores involved in union organizing. And by law, we cannot implement unilateral changes at stores that have a union. Where Starbucks is required to engage in collective bargaining, we will negotiate in good faith. Starbucks will not favor or discriminate against any partner based on union issues.”