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Starbucks to Close 250 North American Stores Amid Review
Starbucks plans to close 250 coffee shops in North America.
The closures are expected to happen later this week.
The company says these stores were not performing well enough financially or were not providing the experience it wants.
Starbucks has not said which stores will close.
It also has not said how many are in the United States.
The company is renovating about 1,500 other stores.
Workers may be moved to nearby stores if jobs are available.
Workers who cannot be moved will receive help with severance.
Starbucks plans to close 250 North American coffee shops later this week.
The affected stores reportedly failed financial expectations or could not deliver the intended customer and employee experience.
The company has not identified the locations or disclosed how many closures will be in the United States.
Starbucks expects to complete renovations at about 1,500 locations by September 30.
Affected employees may be transferred to nearby stores or receive severance assistance if reassignment is unavailable.
- Who
- Starbucks and its affected employees.
- What
- The company will close 250 North American stores as it reviews its store network.
- Where
- Across North America, with specific locations not disclosed.
- When
- The closures are expected later this week; renovations are scheduled to be completed by September 30.
- Why
- The stores either missed financial expectations or could not provide Starbucks’ intended customer and employee experience.
Key facts
- Planned closures
- 250 Starbucks stores
- Region
- North America
- Timing
- Later this week
- Renovation target
- About 1,500 locations by September 30
- Employee support
- Transfers to nearby stores where positions are available, or severance assistance
- Unionized locations
- The company did not disclose how many affected stores are unionized
- U.S. unionization
- More than 700 Starbucks locations in the United States have voted to unionize since late 2021
Quotes
Mike Grams
Starbucks chief operating officer
“This progress has given us a clearer view of the performance of every coffeehouse. While most are benefiting from this overall momentum, some coffeehouses continue to underperform despite the hard work and commitment of all of you.”
freepressjournal.in
Sources
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