Starbucks resumes bargaining with union after two sides thaw relationship

starbucks And the union that represents its baristas will resume contract talks on Wednesday, ending an extended standoff.

After February, both sides returned to the bargaining table Announcement They found a “constructive way forward” during arbitration discussions related to litigation over the union’s use of Starbucks’ branding. It marked a major pivot for Starbucks, which had spent the past two years fighting Workers United and the broader movement to unionize its cafes.

Nearly 400 company-owned Starbucks in the U.S. have voted to form a union under Workers United since the first election in December 2021, according to data from the National Labor Relations Board as of Monday. But none of those locations, which make up a small portion of the total U.S. footprint, have come close to a collective bargaining agreement.

Starbucks and the union, which is affiliated with the Service Employees International Union, have previously met to bargain, but those talks quickly ended in impasse. Both sides have accused each other of disrupting the talks.

Starbucks had previously insisted on face-to-face conversations, with no representatives attending via Zoom. The union has accused Starbucks of using that excuse as a stalling tactic. This time, approximately 150 union representatives will be present in person to bargain, while several hundred more will participate in face-to-face meetings remotely.

Store agreements will be negotiated and approved separately, but the union can make proposals that could affect all Starbucks workers it represents. Workers United has widely pushed for higher wages and more consistent scheduling, among many other priorities.

Labor laws do not require that the employer and union reach a collective bargaining agreement, only that both bargain in good faith. After a year, employees who lose confidence in the union may file a petition to decertify, which could hinder negotiations.

There are 19 petitions for decertification pending with the NLRB. The Labor Board has rejected 18 other petitions for de-certification, citing unfair labor practices by Starbucks.

The company said it is also negotiating with other unions that represent its cafes, such as the International Brotherhood of Teamsters, which is bargaining for a store outside Pittsburgh.

The resumption of contract talks comes a day after another important moment for both Starbucks and unions. On Tuesday, the company appeared at the Supreme Court to appeal a lower court’s grant of an injunction sought by the NLRB to reinstate seven fired workers at the Memphis cafe.

Starbucks argued that other agencies seeking an injunction have a higher threshold for obtaining an injunction than the Labor Board. Experts have said the Supreme Court’s final decision could weaken the NLRB — and organized labor. The court is expected to issue its decision this summer.

Starbucks may share more details about union talks during its quarterly earnings call. The coffee giant is expected to report its earnings on Tuesday.

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