Starbucks to make 1,100 global job cuts as part of major restructuring plan

Niccol stressed that Starbucks would handle the process with “the respect they deserve.”

The notification process began on 24th February, with affected employees set to be informed by midday Tuesday (25th February).

Members of the executive leadership team have already started notifying senior leaders at the vice president level and above, with additional changes to responsibilities and reporting structures expected to be communicated by the end of the week.

Niccol reassured staff that these changes are intended to “position Starbucks for future success — and to ensure we deliver for our green apron partners and the customers they serve.”

The restructuring will also involve changes to leadership expectations, particularly in North America.

From now on, vice president-level leaders and above will be required to be present in Starbucks’ Seattle or Toronto offices at least three days a week.

The company will also maintain a number of ‘in-market’ roles to directly support green apron partners and store operations in specific regions.

While these changes are significant, Niccol confirmed that existing hybrid working arrangements for other roles will remain unchanged.

Employees at director level and below who currently work remotely will continue to do so, although future remote roles will primarily require employees to be based in Seattle or Toronto unless otherwise designated.

In markets outside the United States and Canada, local leadership will provide specific guidance based on regional needs.

Starbucks also confirmed that it will continue hiring for roles that align with the company’s new organisational structure and business priorities.

Affected employees will receive additional information from their regional leaders, including details about severance pay, healthcare coverage, and career transition services.

Starbucks also plans to hold company-wide and departmental meetings in the coming days to discuss the restructuring in greater detail and share more information about the future direction of the global support teams.

Niccol concluded: “Starbucks is what it is today because of the contributions of incredible partners like you. On behalf of the executive leadership team, thank you.

“We appreciate all you’ve done for our company, our partners, and our customers.”