Starbucks May Have Violated Federal Labor Law with ‘Co-Creation’ Sessions
- posted: Jun. 08, 2023
- Employee Rights, Whistleblower Litigation, Wrongful Termination
The National Labor Relations Board has accused Starbucks of violating federal labor law during “co-creation sessions,” which solicited employee grievances and promised improved benefits to workers. These sessions sometimes included the company’s interim CEO, Howard Schultz. The company is also accused of breaking the law when responding to a union drive at a Seattle outlet.
Case background
Over 100 “co-creation” sessions were held across the country between April and August 2022. These sessions included workers, members of Starbucks’ diversity and inclusion team, supervisors, executives and Schultz. The leadership solicited feedback about worker grievance, and then promised (either impliedly or explicitly) to remedy their complaints by offering new or improved benefits.
Meanwhile, Workers United was pushing to organize Starbucks employees nationwide. They filed for a representation election at a downtown Seattle store in June 2022. Starbucks responded with the co-creation sessions, then reorganized the store in question plus two others into a new three-store “Heritage District,” and told workers at those stores that they’d need to reapply for their positions. During interviews, one supervisor questioned workers about their union support and organizing activity.
Ultimately, 33 of the 73 employees were not hired, including 16 of the 22 employees who worked at the location facing a union drive. This effectively forced the employees’ constructive discharge. Rehired and newly hired employees received raises and new benefits.
The NLRB is asking for Starbucks to pay “make-whole” remedies to the 33 unhired employees, plus letters of apology, NLRB training for managers and notice of workers’ rights read to employees at the three stores.
In February, Michigan U.S. District Judge Mark Goldsmith issued a nationwide cease-and-desist order against Starbucks in an effort to ban them from retaliating against workers for union activity. The order was walked back a day later, citing errors.
Have you been unfairly targeted for legal union activity? Call a skilled whistleblower attorney at Kardell Law Group today to learn more about your options.
