Starbucks Workers Rally in NYC Amid Ongoing Strike and Labor Settlement
Starbucks employees in New York City continue their strike, rallying outside the Empire State Building, as the company agrees to a $38.9 million settlement over labor law violations.
Starbucks Workers United organized a rally outside the Empire State Building on Thursday, marking the third week of their ongoing strike. The demonstration drew several hundred participants, including members from other unions such as the AFL-CIO and Service Employees International Union. Protesters chanted slogans like "No coffee, no contract" and "What's disgusting? Union busting" between speeches.
SEIU President April Verrett addressed the crowd, stating,
"Their fight is a fight really for all of us, to workers across the country, to corporations like Starbucks, across the country that workers are fed up with the status quo, and they're not going to take it anymore."
The strike, initiated on Starbucks' Red Cup Day last month, aims to secure improved hours, higher wages, and address numerous unfair labor practice charges against the company. Out of the 145 locations involved, 55 remain closed, according to a company spokesperson.
In a related development, Starbucks has agreed to a $38.9 million settlement following a New York City investigation that found the company violated local fair scheduling laws over 500,000 times in three years. The 2017 law mandates predictable and stable worker schedules. As part of the settlement, $35.5 million will be distributed to over 15,000 affected workers, with the remainder covering penalties and administrative costs. Each eligible employee will receive $50 for every week worked between July 2021 and July 2024. This marks the largest payout ever under a worker protection law in the city.
Despite the ongoing strike and settlement, Starbucks reports that 99% of its U.S. stores remain operational and anticipates no significant disruptions. The company has expressed willingness to resume negotiations, though prior talks stalled after union delegates rejected a proposed package offering annual raises of at least 2%.
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