Starbucks is laying off more 1,100 corporate employees this week and will halt hiring for hundreds of open roles.
“We are simplifying our structure, removing layers and duplication and creating smaller, more nimble teams,” Starbucks CEO Brian Niccol said in a letter announcing the layoffs on Monday. “Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration.”
Employees at Starbucks’ stores will not be affected by the layoffs, Starbucks said.
Starbucks currently has 16,000 employees across its corporate offices as well as other areas of the business, such as roasting operations.
The company has been seeking to rejuvenate sliding sales in the US, its main market. Niccol, who was named CEO in September last year, has said the company needs to prioritize the customer experience, including focusing more on baristas, which the company calls “partners.”
“I recognize the news is difficult,” he said in the memo. “We believe it’s a necessary change to position Starbucks for future success — and to ensure we deliver for our green apron partners and the customers they serve.”
Do you work at Starbucks and have a story idea to share? Reach out to this reporter at [email protected] or via encrypted messaging app Signal at 808-854-4501.
The post Starbucks is laying off 1,100 corporate staff this week appeared first on Business Insider.
