REPORT: Low Wages and Grande Profits at Starbucks


Low Wages and Grande Profits at Starbucks

August 2014

Starbucks has been a very successful company over the past decade, increasing sales and
profits almost every single year. The company stock price has also increased dramatically
since 2010. However, what has been good for shareholders has not necessarily been good
for the company’s “partners” (workers). An analysis of company performance and staffing
before and after the Great Recession of 2008-2009 shows that the stores are now staffed
at a lower level, workers are working harder, and they are bringing in much more profit
for the company. Instead of funding a living wage for workers, the company has transferred
almost $4 billion to shareholders in the past few years, equivalent to over $3 per hour for
every worker at the company. Starbucks should compensate its workers with a living wage,
ensure better store staffing and scheduling, and respect the workers’ rights to organize a union.


Download the full report or the report summary.