The news: Starbucks Workers United plans to strike in more than 25 cities on Thursday, November 13, if it doesn’t reach a collective bargaining agreement with the company by that date.
- The timing is important: The strike date coincides with Red Cup Day, which is one of Starbucks’ busiest days of the year and an unofficial kickoff to its holiday season.
- Contract talks have stalled since negotiations collapsed late last year. The two sides entered mediation in February, but the union rejected Starbucks’ economic proposal in April, leaving talks in limbo.
Why it matters: The strike is open-ended, and Workers United has pledged to escalate actions without new proposals or meaningful progress on pay, hours, and staffing. That could disrupt Starbucks’ crucial holiday season, when sales surge from gift cards, merchandise, and seasonal drinks like gingerbread lattes and peppermint mochas.
Our take: CEO Brian Niccol’s “Back to Starbucks” turnaround plan remains a work in progress. With consumers cutting back on discretionary spending, a prolonged strike—or negative headlines from labor tensions—could further strain the company’s recovery.