A federal labor judge has ordered Starbucks to reinstate seven fired workers, reopen a shuttered location and stop infringing on workers’ rights after finding that the company violated labor laws “hundreds of times” during a unionization campaign in Buffalo, New York.
The decision issued late Wednesday by Administrative Law Judge Michael Rosas of the National Labor Relations Board requires Starbucks to post a 13-page notice listing its labor violations and workers’ rights in all U.S. stores.
The order also requires Starbucks’ interim CEO Howard Schultz to read or be present at a reading of employees’ rights and distribute a recording of the reading to all of Starbucks’ U.S. employees.
Rosas cited Starbucks’ “egregious and widespread misconduct” in his 200-page decision, which consolidated 35 unfair labor practice complaints at 21 Buffalo-area stores filed by Starbucks Workers United, the labor union organizing Starbucks’ stores. Rosas found that Starbucks had threatened employees, spied on them and more strictly enforced dress codes and other policies.
The order requires Starbucks to reinstate seven workers who were fired for their union activity and provide financial restitution for 27 other workers for violations like refusing to grant time off. It also requires Starbucks to bargain with the union at multiple stores and reopen a location in Cheektowaga, New York, that was closed amid significant union activity.
Starbucks said Wednesday it believes the decision and the remedies ordered are inappropriate and is considering its legal options. The parties in the case have until March 28 to file an appeal to the full National Labor Relations Board.
Starbucks said the individuals in the case were fired for clear violations of the company’s policies, and not because of union activities.
But union supporters were elated with the ruling, saying it will help energize their campaign.
"This decision results from months of tireless organizing by workers in cafes across the country demanding better working conditions in the face of historical, monumental, and now deemed illegal union-busting,” said Michelle Eisen, a Starbucks barista and union organizer in Buffalo.
Eisen's store voted to unionize in late 2021, the first Starbucks in decades to take that step. At least 289 of Starbucks’ 9,000 company-owned U.S. stores have voted to unionize since then.
Workers are seeking better pay, improved training and more consistent schedules, among other things. The company says it already provides industry-leading benefits and believes its stores function best when it works directly with employees.
The ruling came on the same day that U.S. Sen. Bernie Sanders, a Vermont Independent, announced an upcoming vote that could force Shultz to testify about the union campaign before the Senate's labor committee.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
Starbucks’ AI barista aims to speed service and improve experience. Nick Lichtenberg, Fortune Business Editor, explains its impact on workers and customers.
