Brian Niccol 6 months update on Starbucks’s response plan

The CEO of Starbucks, Brian Niccol, informed investors about the progress of the coffee giant response program On your investor day on Wednesday. He promoted A lot of changesMost of which had already been publicly revealed, destined to revive the brand’s cafeteria image.

But Niccol warned that the chain is still “in the first days of our change, and (it has) much more to do to return the business to growth.”

The company’s medium -term future includes more changes in its store experience, he said.

“Imagine coffee shops that are comfortable and warm with expanded seat options, energy shots and abundant food exhibitions, more separation stores between coffee and mobile

Request experience, with new elevators and collection shelves dedicated in selected locations to create an intuitive transfer, and coffees anchored by an espresso redesigned coffee bar that adds a sense of theater, ”said Niccol.

Some US stores have already begun to try these characteristics and technology to enable them, such as A mobile order sequence algorithm.

“The early progress we have seen would not be possible without our Green apron partners,” Niccol said.

Niccol said the chain has added several benefits, duplicate parental license and an increase in hours in 3,000 coffees to ensure that it was the best employer in the retail and restaurant sector. The chain is also trying to promote its managers from the inside.

Jasmine Leli, a member of Starbucks Workers United that works in one of the first Starbucks in unionizing in Buffalo, New York, told Restaurant Dive that the problems of the workers were intertwined with the efforts to revive the brand, and that the aesthetic changes in the cafeteria would not solve the operational problems. In his store, said Leli, there are rarely enough workers for the afternoon.

“(Customers) want to be able to enter and leave when they come to collect their orders, or enter to make an order. And that is not always possible when you work with a skeleton team, ”said Leli.

Niccol said Starbucks has invested considerably in his workers since he joined. But an employee has been a disproportionate receiver of that investment. According to a dissemination in the Proxy brand statementNiccol’s total compensation, largely composed of bonds and shares awards, was $ 97.8 million in 2024. Comparatively, the medium worker, a part -time barista in the United States won $ 14,674 in 2024, according to the declaration of power, which means that Niccol received 6,666 times the compensation of a representative worker.

According to the Department of Health and Human Services of the United States, the individual poverty line In the United States there are $ 15,650. At least 50% of Starbucks workers earn less than this in total compensation per year, according to the declaration of power. The median of the Starbucks worker obtained almost exactly half of what the average waiter, the fast food chef or the food service and the preparation worker won in 2023, according to The Office of Labor Statistics.

“We are seeing the CEO to earn all this money, and we got less money in increases and They are leaving people. We want our contract to be finished and we want Starbucks to invest money in union workers, ”said Leli.

Starbucks Workers United responds to the day of investors with greater pressure

Accompanying the investor’s day, the workers of Starbucks United Hantar actions, including strikes, in several cities. At least 16 people were arrested during the sitting organized by SBWU, according to a press release sent by email to Restaurant Dive.

SBWU members felt disappointed by the company’s failure to reach a contract with the union, despite their previous statements that indicate that I wanted To do so at the end of 2024.

Sara Kelly, the associated director of the brand, said Starbucks and the union have hired a mediator to solve problems in negotiation of a fundamental framework.

Leli said that arriving at that contract will require a combination of continuous work organization, consumer action and pressure on shareholders to persuade the company to invest more in their workers per hour.

Some of the changes made have had involuntary consequences, said Leli. Niccol described The elimination of some drinksas a way to free Starbucks to pursue culturally conducted LTOS and add new and innovative drinks such as cut.