A letter to Starbucks partners (employees) from Rossann Williams, evp, president North America: More investments for store partners in pay, labor, training, equipment and technology

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I was so proud to join Starbucks 17 years ago, because I was joining a different kind of company whose values matched mine. A purpose-driven company with deep respect, care and love for its employees (who we embrace as partners), its customers and communities. Our founder Howard Schultz believed in the dignity of the human experience, in building a successful company, and that our success should always be shared. And under Kevin’s leadership, we all remain committed to this today. This has always been us, and it will always be what we do. Partners always work together to understand the challenges and opportunities of the day. We always reimagine and trailblaze some of the most amazing benefits and services of any retail company in the country – from providing health care to part time as well as full time partners, to annual stock grants for every partner, to 100% college tuition coverage, mental health support and even free Spotify. &nbsp;We always challenge ourselves: what’s needed now, what more can we do, and what are our biggest dreams? And we always start with our partner experience first. Always.

I am proud of how we continue to work together to protect our business and support our partners through the most challenging 18+ months of our lives in this ongoing pandemic. When others were closing stores and laying off people, we doubled down with COVID-19 pay and benefits AND we made a record investment in partner wages and experience. And today, based on what we’ve seen and heard across the country, we’re announcing yet again one of the biggest partner investments in our history! I am forever proud and grateful to be your partner and I’m pleased to share the investments we’re making in our partner experience this fiscal year across the country:

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We want to thank and reward partners who have been with us the longest. You have helped build this company and supported us over two of the most challenging years. In late January, most baristas and shift supervisors across the country with two or more years of service will get up to a 5% raise, and most hourly partners with five or more years will get up to a 10% raise. This is in keeping with our long history of investing in our partners.

In December 2020 we announced that we would raise our minimum wage to $15/hour nationally and in Summer 2022 we will have achieved that goal. This will of course support current partners, and importantly it will also reinforce Starbucks as an employer of choice for future partners as we enhance recruitment efforts in the challenging labor market that we – like other retailers – face.&nbsp; And when we make this increase to $15/hour in markets that are not already at that level, we will ensure partners with two or more years of service are paid above their market start rate. This means baristas will make between $15 and $23/hour based on market and tenure, and we will maintain a 27% difference between Barista and SSV start rates. And we continue to offer career development opportunities like the barista trainer program and promotions to grow earning potential.

Our wage increases from Dec. 2020 to the Summer of 2022 will mean at least a 17% increase for partners, and at least 20% for tenured partners, in two years. I share all this only to reaffirm our belief that investing in our partners is not a cost, it’s an opportunity – and we intend to let our shareholders and peers know the same.&nbsp;

We’re adding hourly recruiting specialists in the regions, extending the $200 referral bonuses, and redesigning Barista Basics with added training time as well as plans to add funded practice shifts for new hires. The positive responses we’re getting from partners around the country tells us we’re on the right track – thank you! In addition, we are learning from the 40 stores we temporarily repurposed for training needs in markets around the country and will continue to build on this work.

We’re making more cold beverages than ever before so last month, we launched a major update to our labor model to reflect the demand, the time it takes to make these customized drinks, and the prep (from cold brew prep to nitro kegging). What that means is a more accurate forecast you can trust, and a better staffed shift. To better ensure staffing on a day-to-day basis, we’re also testing solutions like an app to help partners communicate and make sure there is coverage for all available shifts, which should reduce the impact of call outs. Our labor team, made up of the best data analysts and former store partners, and our Store Manager Council, is shaping this work.

Wages and benefits are important, and so is the day-to-day experience of your work and your store environment. So we’re moving fast to get Mastrena IIs, our new Cold Brewers and MerryChef ovens in every store, MacBooks to ASMs and SMTs by December, and rolling out more Handheld Order Points, Playbuilder, My Daily upgrades and Automated Ordering (which is saving stores 25 minutes a day!). We’re testing Cold Beverage Station redesigns now in Tryer and will begin testing in stores in January to make it easier to handcraft drinks and connect with customers. Behind the scenes, we’re also testing ingredient dispensers and sustainable water dispensers, thanks to your ideas.

Every decision and every investment we make is in partnership with you. We are listening and learning in every market where we operate – in partner roundtables, open forums, Workplace, Partner Hub, Partner Experience Surveys and through 1:1s with you and your leaders. Our goal is to create the best, and safest partner experience for you. This is why we continue to offer competitive pay, flexible hours, borrowed shifts, paid sick leave, paid vacation, paid family leave, free college, healthcare, stock, 401k plans, childcare, Lyra mental health benefits, transgender benefits, vaccine benefits, Spotify, Headspace, partner networks and more. We want you to know about and use everything Starbucks has to offer to pursue your biggest dreams – whether it’s with us, or beyond!

Your partner experience is our top priority. And the only thing that makes me prouder than investing in you, is what we stand for together. We inspire and nurture the human spirit. We have the opportunity every day to create a different kind of company whose DNA is human connection. One Best Moment at a time, one conversation at a time, one community service event at a time, one smile at a time. The world has never needed inspiration and nurturing more than it does now.

Thank you for all you do, and how much it matters to your fellow partners, your customers, and your communities. It is my greatest honor to be in service of you and our Mission.

A letter to Starbucks partners from Rossann Williams, evp, president North America: More investments for store partners in pay, labor, training, equipment and technology.

Message from Rossann Williams: Investing Our Success in You

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A letter to Starbucks partners (employees) from Rossann Williams, evp, president North America: More investments for store partners in pay, labor, training, equipment and technology.

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