Starbucks announces mass layoffs of more than 1,000 workers as problems for chain mount up

UK Daily Mail ^ | 02/24/2025 | Alice Wright

[DFG]

Starbucks has announced huge cuts to its corporate workforce as part of its turnaround plans.

The coffee chain's new CEO Brian Niccol announced on Monday that 1,100 employees would be laid off and hundreds of open positions would not be filled.

Niccol said the mass layoffs are 'necessary' to remove duplicate jobs and increase focus.

'We believe it's a necessary change to position Starbucks for future success,' Niccol said in a statement.

Starbucks has around 16,000 corporate employees who work on the business outside the day to day running of cafes. Store workers such as baristas will not be affected.

The brutal cuts are among the largest in the chain's history, having cut five percent of its workforce, around 350 people, in 2018.

Despite Niccol's turnaround plans Starbuck's still reported its fourth consecutive quarter of declines, with sales down 4 percent in the quarter ending in December.

The chain has suffered after customers grew tired of years of price hikes, long lines and poor service.

Niccol has slashed the number of deals and menu options in an effort to boost the company's bottom line.

He has also cut the popular perk of being able to visit a Starbucks location without ordering anything.

[armourenthusiast]

Is Starbucks DOGEing?

[Larry Lucido]

16,000 corporate employees

I wouldn’t know what to do with fifty employees. How would you keep 16,000 corporate folks busy?

[lefty-lie-spy]

How could you possibly need 16,000 people to run a chain of coffee shops? Sounds like the CEO learned from Elon’s takeover and housecleaning at Twitter.

[PeterPrinciple]

He has also cut the popular perk of being able to visit a Starbucks location without ordering anything.

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[ronnie raygun]

to remove duplicate jobs and increase focus. Trumps fault

[Ciexyz]

The gravy train is ending.

[Hammerhead]

They instituted the new autodrip machines in the summer of last year.

I took my coffee back TWICE because it was thick as cough syrup and tasted like it had been sitting in a 7-11 pot all day with an incredible burnt taste.

ABSOLUTELY HORRIBLE!!!!! and I enjoy strong coffee.

I used to get the dark roast all the time.

Now I have to ask for an Americano (very weak coffee).

I can’t even dring the light roast. Its disgusting!!!

[Bernard]

I wonder if there is a connection between WFH employees going back to the office and a decline in many Starbucks locations losing business. Hmmmmmmm....

[Ciexyz]

There’s a Starbucks inside a Target store in my area that stays open after Target closes on Sunday, you stand in a long line to order coffee and a sweet roll but you have to take it out of the store, you can’t sit sit down at Starbucks’ tables because the entire mall closes after 5 PM on Sundays. I always thought that was a poor business decision on Targets’ part - you could grab the customers leaving Target and provide a place to relax for an hour or so, like B&N and its cafe at end of same mall stays open till 7 PM on Sundays.

[Sgt_Schultze]

Back in the 80's Jack Welch, who ran GE, claimed "a company will broadly have 20% A players, 70% B players and 10% C players. He fired those last 10% every year. GE grew from $81 billion to $410 billion during his leadership. By jettisoning the DEI nonsense and getting back to productivity as job #1, many of today's companies could right their ships - as long as the top dog isn't a freaking leftist moron.

[brownsfan]

It’s sad that we’ve come to the point where corporations choose to take on political identities. One of the byproducts of that is that I freely cheer any trouble headed Starbucks way.

[Red Badger]

They are building a new one here. Almost finished. I don’t expect it to last long...............

[wally_bert]

I might have spent at most 20 dollars on Starbucks in my life.

Never could stand coffee.

Hot chocolate is another thing.

[hal ogen]

If you have a business you have an interesting choice for new hires: fired former government employees or fired Starbucks baristas. What a “choice”.

[bobcat62]

Is Starbucks H1B-ing?

[13Sisters76]

...you mean no one wants their overpriced swill?

[Red Badger]

I have never spent a penny there..........Got a FREE COFFEE once on Election Day as they gave away a free cup if you showed your “I Voted” sticker............

[Red6]

Massive competition (lots of gourmet local chains) and they priced themselves into the realm of ridiculous selling what is a mediocre product.

[rod5591]

I quit Starbucks years ago after they announced they would hire as many illegals as they could over native Americans. My boycott of Starbucks continues and I am happy at their self inflicted troubles.