Starbucks is facing accusations that could cost it tens of millions of dollars. The general counsel of the National Labor Relations Board (NLRB) filed a complaint on Thursday, Oct. 10, that accuses Starbucks of cutting workers’ hours at nearly 300 unionized stores without consulting union officials in late 2022 and early 2023.
Once a business is unionized, it is typically illegal for employers to change pay or scheduling without negotiating with the union first. NLRB officials request that Starbucks pay wages and benefits owed to the employees as if their hours had not been slashed.
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Several thousand employees are covered in the complaint, and a lawyer representing the plaintiffs said damages could soar past $30 million, adding that the reduced unionized workers’ hours were in place for almost two years. It was reported that some workers even lost health care and other benefits as a result.
When the NLRB files a complaint against a company, it usually means that federal officials found merit with workers complaints, and a trial could ensue unless a settlement is reached beforehand.
A barista and union leader called the court filing “a significant move” that could impact 8,000 workers. Starbucks has not responded to the complaint as of the publication of this report.
Starbucks employees previously accused the company of being anti-union and using underhanded tactics to prevent unionizing by employees.
Workers at 500 Starbucks nationwide have joined the Workers United Union since 2021, and the company and union are reportedly making ground toward a collective bargaining agreement.
Starbucks and the union are still working on the exact details of the contract.
