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Business

Union claims that Starbucks illegally closes the cafe in retaliation, Bloomberg reports




A pro-union poster has been seen on a lamp post outside Starbucks’ Broadway and Denny location in Seattle’s Seattle Capitol Hill neighborhood on March 22, 2022.

Toby Scott | Sweep pictures | Lightrocket | Getty pictures

The workers’ union at Starbucks claims that the coffee chain is closing a recently unionized cafĂ© in retaliation for its activist efforts, Bloomberg News reported.

It is the latest escalation between a rapidly growing national labor movement and the coffee giant.

Workers United, the union that supports the organizational efforts at Starbucks, reportedly said in a Friday file to the National Labor Relations Board that Starbucks is violating federal labor law by closing a store in Ithaca, New York, permanently. The group claimed that it was in retaliation since employees at the site voted to organize in April, according to the organization Twitter account.

Starbucks said it is opening and closing stores “as a regular part”[ads1]; of operations. “Our goal is to ensure that each partner is supported in their individual situation, and we have immediate opportunities available in the market,” a Starbucks spokesman said in an email to CNBC.

The union is asking the agency to apply to a federal court to quickly prevent or reverse the closure of the store, according to the report.

Around 100 Starbucks cafes have voted for union under Workers United, while only 14 locations have voted against union. Workers United announced this week that it has set up a $ 1 million fund to cover lost wages for striking baristas.

Workers United has filed at least 175 complaints against the coffee chain for unfair work practices, CNBC previously reported. Starbucks has denied wrongdoing.

Read the full report from Bloomberg News here.

– CNBC’s Amelia Lucas contributed to this report.





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