Starbucks and the union representing its baristas will resume contract negotiations on Wednesday, ending a prolonged impasse.
The two sides’ return to the bargaining table follows their February announcement that they had found a “constructive path forward” during mediation discussions related to a dispute over the union’s employ of the Starbucks brand. It was a major turn for Starbucks, which had spent the previous two years fighting Workers United and the broader movement to unionize its cafes.
About 400 Starbucks-owned locations in the U.S. have voted to unionize under Workers United since the first election in December 2021, according to data from the National Labor Relations Board on Monday. But none of these locations, which represent a miniature fraction of the total U.S. footprint, was not even close to concluding a collective bargaining agreement.
Starbucks and a union affiliated with the Service Employees International Union have met before to bargain, but those talks quickly ended in an impasse. Both sides accuse each other of sabotaging the talks.
Starbucks had previously insisted on face-to-face negotiations, without representatives present via Zoom. The union accused Starbucks of using the excuse as a delaying tactic. This time, about 150 trade union representatives will appear in person to bargain, and several hundred more will vote remotely, in addition to face-to-face meetings.
Store agreements will be negotiated and ratified separately, but the union could come up with proposals that would affect all Starbucks workers it represents. Workers United broadly advocates for higher wages and more consistent schedules, among a range of other priorities.
Labor law does not require that the employer and the union enter into a collective agreement, only that both negotiate in good faith. After a year, workers who lose faith in the union will be able to file for decertification, which will speed up negotiations.
The NLRB has 19 petitions pending for decertification. Citing unfair labor practices by Starbucks, the labor commission denied 18 other decertification requests.
The company said it is also negotiating with other unions representing its cafes, such as the International Brotherhood of Teamsters, which is negotiating for a store near Pittsburgh.
The resumption of contract negotiations comes a day after another vital moment for both Starbucks and unions. The company appeared before the Supreme Court on Tuesday to appeal a lower court’s approval of an NLRB-requested reinstatement order for seven fired Memphis coffee shop workers.
Starbucks argued that other agencies seeking injunctions have a higher threshold for receiving an injunction than the labor board. Experts say the Supreme Court’s final ruling could weaken the NLRB and organized labor. The court is expected to announce its decision this summer.
Starbucks could share more about union negotiations during its quarterly earnings call. The coffee giant is expected to announce its results on Tuesday.
