Starbucks’ company headquarters seen in Seattle. The corporate introduced its Q2 earnings on twenty seventh Apr 2021.
Toby Scott | Lightrocket | Getty Photos
Starbucks will lay off 1,100 company workers and won’t fill a number of hundred different open positions, the espresso chain’s CEO Brian Niccol stated Monday.
The cuts won’t have an effect on staff on the firm’s cafes.
In a message to company workers, Niccol stated Starbucks is “simplifying our construction, eradicating layers and duplication and creating smaller, extra nimble groups.”
“Our intent is to function extra effectively, enhance accountability, scale back complexity and drive higher integration,” Niccol wrote. “All with the objective of being extra centered and in a position to drive higher influence on our priorities.”
The layoffs come as Starbucks tries to attract espresso drinkers again to its cafes after same-store gross sales declined for 4 straight quarters. As prospects flip to cheaper rivals in Starbucks’ two largest markets, the U.S. and China, Niccol has tried to revamp operations since he took the helm of the corporate final yr, together with by rushing up service.
Starbucks had about 16,000 workers who work outdoors of retailer places as of final yr. The cuts will have an effect on individuals who work in company help, however not roasting, manufacturing, warehousing and distribution.
