Starbucks to Lay Off 612 Workers in Washington

Starbucks announced the layoff of 612 employees in Washington as part of a larger initiative to eliminate 1,100 corporate roles, excluding baristas and warehouse workers. CEO Brian Niccol, who assumed leadership in September, is focused on restructuring the company to enhance efficiency and accountability. The layoffs represent one of the largest workforce reductions in Starbucks' history and are intended to streamline operations by creating smaller, more agile teams. In a memo to employees, Niccol outlined his vision for a simplified organizational structure that prioritizes effective service delivery. The company plans to support affected employees with comprehensive severance packages and career transition services, acknowledging the personal impact of such decisions.

Starbucks aims to continue hiring for priority positions that align with its new support structure. As the company navigates these changes, it emphasizes its commitment to maintaining focus on customer experience in its coffeehouses. The updates reflect a significant shift in strategy as Starbucks adapts to ongoing market challenges.