August Code is employed at the premier Starbucks location that unionized in 2021. However, four years following that ballot, he and his colleagues in Buffalo, New York, are still awaiting their labor agreement.
“I would have presumed we would have seen a pact a considerable time ago,” Code shared with CNN. “To imagine we lack an agreement four years later, yes, that’s discouraging. I did not think we would be at this juncture.”
Tuesday marks the yearly event of the initial union success at Starbucks. The unionizing drive there represents one of the most significant achievements in the American labor movement in recent years.
Worries regarding workplace circumstances during the pandemic spurred younger staff, generally supportive of unions and constituting a large portion of Starbucks’ personnel, to organize. Approximately 560 Starbucks sites have voted for union depiction since that first decision four years ago, per the union Starbucks Workers United. (An additional 90 organized shops have ceased operations amidst a series of location shutdowns).
Yet despite the impetus, there remains no collective bargaining agreement, a primary objective of union representation. Pacts can further employee influence and enhance salaries, benefits, and other workplace conditions.
US labor statutes cannot assist nascent unions in compelling firms to finalize a deal. The statutes merely mandate employers to negotiate in “sincere faith,” meaning there are essentially no repercussions if corporations protract discussions for years.
Liz Shuler, president of AFL-CIO, remarked to CNN that the absence of an agreement at Starbucks after four years is an indicator labor laws require revision.
“Individuals wish to sense they have undertaken this hazard and done so for a justification, and that would be to secure an agreement,” Shuler stated. “I believe they will attain it. But it will require some span because these enterprises can endure this type of endeavor.”
That encompasses Amazon warehouse workers in Staten Island, New York, who decided in 2022 to establish the tech giant’s first union. And the United Auto Workers union last year secured the prerogative to represent staff at a Volkswagen facility in Chattanooga, Tennessee – the initial effort to organize the roughly 150,000 US auto workers employed at nonunion plants.
Both parties attribute the delay in agreement to the other side
Firms often exhibit minimal readiness to satisfy the bargaining requests of unions, even after their employees vote for representation.
Amazon does not even acknowledge the victory at its unionized warehouse, persistently contesting the outcome. Rank-and-file members have sanctioned a stoppage at the US Volkswagen plant, but no date has been fixed.
Starbucks consistently asserts that its employees do not require a union as it provides superior compensation and benefits compared to many other retailers. The union is seeking improved wages, better staffing at locations, and enhanced scheduling regulations.
Its workers keep prevailing in representation elections. But discussions between the union and management have gone on for so extended that many workers who voted in early elections have already exited the corporation.
The two factions seem quite distant on any accord, with each blaming the other since mediated discussions concluded this past spring.
“This corporation reacted in such a manner from the start that we realized it was going to be a struggle,” remarked Michelle Eisen, one of the leaders of that initial union drive in Buffalo. She has since departed the firm after 15 years to work for the union.
“For months, we were at the negotiating table, operating with fidelity alongside Workers United and delegates from around the nation to attain arrangements that are sensible for partners and for the enduring prosperity of Starbucks,” Sara Kelly, a senior Starbucks executive, informed personnel in a dispatch last month.
The union is conducting an indefinite work stoppage at around 150 locations that commenced on November 13 — also known as “Red Cup” day, one of Starbucks’ most significant promotional periods annually.
“I genuinely feel this is the turning point,” Eisen commented. “I have never witnessed workers as energized as they are presently.”
Starbucks reported that the work action did not impact sales that day and that the locations facing stoppages represent a minor percentage of the 10,000 company-operated US stores. Under 5% of Starbucks’ 240,000 frontline personnel are union members.
But a union dispute presents an additional complication for Starbucks following years of decreased revenue and subsequent to hundreds of store closures in September. North American sales decreased by 2% over the 12 months concluding in late September and would have diminished twice that amount if not for increased pricing. US import duties have also elevated the cost of coffee, which retails almost 19% higher than last year, according to the newest government statistics.
Challenging first pact is the standard
Failure to secure a rapid initial agreement is not exclusive to Starbucks, or Amazon or Volkswagen.
Only 37% of newly established unions attain a preliminary agreement within a year, and 48% reach a resolution within 18 months, based on continuing research by Johnnie Kallas, assistant professor of labor studies at the University of Illinois.
The American labor movement is advocating for statutes that would assist unions in securing that initial contract more swiftly.
Senator Josh Hawley, a Republican from Missouri, put forth legislation in March to enforce mandatory mediation if a newly formed union and the firm cannot come to terms within months.
The proposal enjoys broad Democratic backing as well as a few other Republican co-sponsors. However, the legislation has stalled thus far.
Despite the absence of legislation, Shuler expressed assurance the Starbucks union will ultimately procure the agreement, particularly due to the dedication of the union’s younger membership base.
“I sense they are committed for the long term,” she remarked.
Some of the union advocates at Starbucks mentioned that the lack of an agreement has facilitated organizing efforts. That is because it illustrates the necessity for a union to better conditions.
“It has not slowed down our organizing endeavors whatsoever,” stated Diego Franco, a striking union barista from Des Plaines, Illinois, and a member of the union’s negotiating team.
Franco also conveyed certainty in an eventual victory.
“Eventually, the corporation will yield and we’re going to secure the robust agreement we have been striving for – regardless of whether I am still involved or not,” he concluded.
About the Author
