Staffing

Starbucks firing 1,100 workers

North American leaders will return to the office at least three days per week.

Photo: Starbucks

February 24, 2025

Starbucks is firing 1,100 corporate workers and eliminating several hundred additional open and unfilled positions, according to a letter sent Monday to employees from CEO Brian Niccol.

"We are simplifying our structure, removing layers and duplication and creating smaller, more nimble teams," he wrote in the letter. "Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration. All with the goal of being more focused and able to drive greater impact on our priorities."

Niccol said affected workers would receive notice and information about severance packages by midday Tuesday.

"All other changes to partner roles, including responsibilities and reporting structures, will be shared directly with affected partners by the end of the week," he said. "Our new structure is built to focus on priority work and is oriented to support the experience we create in our coffeehouses. We'll simplify what we do and how we work to make it easier to drive the business forward.

"We will continue to hire for priority positions that fit with our new support structure and add capability and capacity we need."

What's Next

The company is requiring North American leaders to work in its Seattle (U.S.) and Toronto (Canada) offices at least three days a week.

"We will maintain a designated set of 'in-market' roles to directly support our green apron partners and coffeehouse operations in specific geographies," Niccol said. "More information will be provided directly to leaders regarding in-office expectations. This does not change hybrid work policies or in-office expectations for other partners."

Generally, partners working remotely in director and below roles today will keep their remote status. Hiring for future roles will require partners to be Seattle or Toronto-based, except for enterprise-designated remote positions. In markets outside the U.S. and Canada, local leaders will communicate specific expectations for each market.

I know this process is challenging and recognize the impact it will have on partners whose roles are being eliminated," Niccol said. "Starbucks is what it is today because of the contributions of incredible partners, like you. On behalf of the executive leadership team, thank you. We appreciate all you've done for our company, our partners and our customers, and we'll do all we can to support you."