AOL Money & Finance

Starbucks the union buster: Could employee friendliness be a sham?

More

Starbucks Corporation (NASDAQ: SBUX) floats around in a cloud of the rarefied air that is happy employees. Or so it seems if you gulp down the Frappuccino Kool-Aid, slurping up the frequent mentions in Fortune's "100 Top Employers" list, the formal name of "partners" instead of employees, the stock options, the good benefits, the repeated comments about raises in earnings calls and shareholder meetings. Yep, if you do nothing but lick up the PR, you must realize that Starbucks' workers -- err, partners -- are the happiest on every block.

Or are they? Not according to Daniel Gross, former partner at New York's Madison Avenue and 36th Street store, and the other members of the Starbucks Workers Union he helped organize. While their numbers must be small; the SWU only represents partners at nine of the company's 9,401 U.S. stores; their complaints are multitudinous. Two of the union's members, including Gross, were fired unfairly, they say. Starbucks has been cited by the National Labor Relations Board for breaking the law 30 times by pressuring union members. What's more, Starbucks partners aren't paid highly enough; the 'flexible hours' are too flexible and result in an always-uncertain schedule (yikes! I've never heard of food service organization with oft-changing schedules! oh, wait...); and the benefits aren't used by the majority of Starbucks partners (which Gross & company complain is because Starbucks limits its employees hours; Starbucks claims it's because so many of their employees have other coverage).

Not only that, there's the iced tea gestapo.
Says Gross to the Washington Post: "The key in retail is absolute control over the employee... They've got rules for everything. The iced teas get 10 shakes. Not nine. Not eight. Before you hand it to the customer, 10 shakes. They're terrified a union will come in and say 'Nine shakes is enough.' "

Yeah. I'm sure that's exactly Starbucks' biggest fear! That unions will start demanding a limit to iced tea shakes, and the number of times that annoying little beeping timer will go off before a partner goes to unleash the brewed coffee. And oh dear lord, what if the unions started messing with the number of tamps the ground espresso required? HORRORS.

It may have become obvious to the casual reader by now that this is a time I can only take Starbucks' side of the issue. While I do feel that Starbucks employees are underpaid as compared to, say, your average entry-level construction worker, you can hardly expect much better for baristas who (let's remember) do make a large portion of their earnings through the tip jar. What's more: please, people, work behind a counter at a fast-food restaurant for a few weeks before you start complaining about shaking iced tea. Have you ever cleaned out a deep fryer? No? OK then.

Starbucks may be trumpeting the employee-friendly horn a bit loudly; perhaps the company is even rife with supervisors whose people skills are ill-developed. Take the woman who told me it was "sort of company policy" that I not take photos in my corner outlet, and many of the commenters on Starbucks Gossip. Clearly, this is a company which will not be the biggest feeder into diplomat positions at the U.N. But calling it a union buster, or insisting that it treats employees awfully, is going a bit far.

Were I advising the management team at Starbucks, I'd suggest it welcome the union with open arms, iced tea demands and all.

Reader Comments (Page 1 of 1)

Symbol Lookup
IndexesChangePrice
DJIA-0.4510,433.26
NASDAQ+2.862,172.04
S&P 500+0.201,105.85

Last updated: November 25, 2009: 09:57 AM

BloggingStocks Exclusives

Hot Stocks

DailyFinance Headlines

Latest from BloggingBuyouts

TheFlyOnTheWall.com Headlines

BioHealth Investor Headlines

WalletPop Headlines

My Portfolios

Track your stocks here!

Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

BloggingStocks Partners

More from AOL Money & Finance

WalletPop Headlines