Starbucks Workers United is organizing a strike authorization vote to secure a contract with the coffee giant. Rallies and pickets are planned nationwide. Voting will be open for several days, with an open-ended strike if approved. The union is pushing for better hours, higher pay, and resolution of labor practice charges.

Negotiations between Starbucks and the union broke down in 2024. The union represents over 12,000 workers in 650 stores, although Starbucks has over 18,000 locations. Both parties entered mediation in February, with baristas rejecting Starbucks’ economic package in April. The union seeks to address staffing, pay, and labor practice issues.

Starbucks claims to offer competitive pay and benefits, with partner engagement high and low turnover. The company is set to report earnings, with stock down 6% year-to-date and declining same-store sales. Under new CEO Brian Niccol, Starbucks is implementing a turnaround plan named “Back to Starbucks,” emphasizing customer interactions and service improvements.

Starbucks announced a $500 million investment in labor hours, focusing on the Green Apron Service rollout. The program aims to improve customer interactions and service times, driven by digital orders. Baristas have organized due to staffing issues, but Niccol has faced less union scrutiny compared to previous CEOs.

In a $1 billion restructuring plan, Starbucks is closing 500 North American stores and laying off 900 workers. The union secured benefits for workers at closing stores, including severance and extended health benefits. Starbucks reached an agreement with Workers United to address the impact of the closures on baristas in union stores.

Read more at CNBC: Starbucks Workers United set to vote on strike authorization