Starbucks hit with government labor complaint alleging 200 violations
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Starbucks (NASDAQ:SBUX) has been hit Friday evening with a sweeping labor complaint covering 29 charges of unfair practices.
The regional director of the National Labor Relations Board issued the complaint alleging more than 200 violations of the National Labor Relations Act.
That's the result of claims made by Starbucks Workers United in Buffalo, N.Y., where the company's union organizing effort started last summer (and resulted in a successful vote in December).
CNBC reports that the NLRB is accusing Starbucks of interfering with, restraining and coercing employees looking to unionize in various ways - including store shutdowns, threats and intimidation, cut compensation, discriminatory policy enforcement, surveillance and terminations, along with mandatory anti-union meetings.
Since the first Starbucks in Buffalo to vote yes on unionizing, more than 50 stores have voted to organize with Workers United, and almost 250 have petitioned for votes, while at least five have voted no on organizing.
As a remedy, the NLRB is looking for reinstatement of workers, and for either CEO Howard Schultz or North Americas executive VP Rossann Williams to hold a meeting where they would read a notice of employee rights.
SBUX is -0.4% after hours Friday; it declined 1.2% during the regular session.