A coalition of 26 U.S. senators and 82 members of the House of Representatives has formally urged Starbucks Corporation’s Chief Executive Officer, Brian Niccol, to resume and engage in meaningful contract negotiations with the union representing Starbucks workers. The bipartisan letter, spearheaded by Senator Bernie Sanders, was made public on November 10, 2025, reflecting escalating concern in Congress over what lawmakers perceive as the coffee giant’s ongoing resistance to unionization efforts and a potential return to union-busting tactics.
The lawmakers emphasized the importance of Starbucks committing to “bargain a fair contract in good faith” with its employees, who have increasingly organized under Starbucks Workers United. The union currently represents about 9,500 baristas and other store employees across the country. This push from federal legislators highlights the broader national debate about workers’ rights and corporate responsibility in an era of rising labor activism.
Background: Stalled Negotiations and Mutual Accusations
Negotiations between Starbucks and the unionized employees began in earnest in April 2024, following a historic wave of unionization efforts at the coffee chain, the largest in the United States. However, talks have since stalled with both parties pointing fingers at each other for the impasse. Starbucks contends that the union is blocking progress, while union representatives accuse the company of employing tactics designed to delay or undermine negotiations.
Starbucks has publicly noted that unionized workers represent only about 4% of its total workforce, a point that the company uses to highlight the limited reach of unionization within its vast employee base. Despite this, the union’s influence has grown, driven in part by worker dissatisfaction with wages, scheduling practices, and working conditions.
Lawmakers Highlight Allegations of Retaliation
The letter from lawmakers draws attention to over 100 unfair labor practice charges filed by Starbucks Workers United since December 2024. These charges allege that Starbucks has retaliated against employees who support union efforts. Such accusations of retaliation include reports of firings, disciplinary actions, and other punitive measures that the union argues are designed to intimidate workers and discourage collective bargaining.
This congressional letter urges Starbucks to halt these practices and return to the negotiating table in good faith. It underscores the broader principle that workers should be able to organize and bargain collectively without fear of retaliation, a cornerstone of U.S. labor law.
Financial Context: Balancing Profits and Fair Labor Practices
In addition to the labor issues, the lawmakers also referenced Starbucks’ financial position to challenge the company’s stance on union negotiations. The letter notes that Starbucks spent billions of dollars in 2024 on shareholder dividends and stock buybacks, a practice some labor advocates criticize for prioritizing investor returns over employee welfare.
CEO Brian Niccol’s compensation also came under scrutiny. Niccol reportedly earned around $95 million in 2024, much of which is tied to shares he retained from his previous role as CEO of Chipotle Mexican Grill. The letter argues that Starbucks has the financial resources to negotiate a fair contract with its employees and calls on Niccol to demonstrate leadership by facilitating a resolution.
In response, Starbucks has defended its financial strategies, emphasizing that stock buybacks and dividends benefit a broad range of stakeholders, including employee-shareholders and institutional investors. The company also highlights its commitment to employee benefits, which it says include healthcare coverage for part-time employees working 20 or more hours a week, parental leave policies, and access to tuition assistance programs through Arizona State University’s online offerings.
Workers Threaten Strike: “Red Cup Day” Deadline
The union has warned that unless a contract is reached by November 13, a significant work stoppage could ensue. November 13 is known within Starbucks culture as “Red Cup Day,” marking the seasonal launch of the company’s popular holiday-themed beverages. The union’s decision to use this date as a deadline is symbolic, as a strike during the high-traffic holiday period could disrupt the company’s business significantly.
Potential strikes are expected in more than 25 cities across the United States, underscoring the widespread unrest among Starbucks workers. The union’s move is seen as a pressure tactic to force Starbucks management back to the bargaining table and to gain public support for workers’ demands.
Starbucks’ Broader Retail Challenges and Restructuring
Starbucks has been grappling with broader challenges in its U.S. retail segment. After enduring six consecutive quarters of declining sales domestically, the company recently reported a modest global sales growth of 1% as of October 29, 2025. This growth reflects efforts to stabilize and reinvigorate the brand amid shifting consumer preferences and economic headwinds.
As part of its turnaround strategy, Starbucks undertook significant restructuring measures, including the closure of over 600 stores in September. This wave of closures included the shuttering of its flagship unionized store in Seattle, an emblematic site of the unionization movement. The company also reduced corporate staffing levels in an effort to cut costs and streamline operations.
These moves, while aimed at improving profitability, have added tension to labor relations. Many workers and labor advocates argue that store closures disproportionately impact unionized locations and send a chilling message to employees considering unionizing.
Looking Ahead: A Crucial Moment for Labor Relations at Starbucks
The outcome of these negotiations and potential strike actions could have lasting implications not only for Starbucks but also for the broader retail and service industries in the U.S., where labor organizing has gained momentum in recent years. The case highlights the ongoing challenges and debates around collective bargaining rights, fair wages, and corporate accountability.
The lawmakers’ intervention signals increased political attention to corporate labor disputes, reflecting a growing willingness among elected officials to support worker organizing efforts. For Starbucks, the stakes are high: resolving the labor conflict amicably could restore goodwill with employees and customers alike, while continued tension risks further disruption and reputational damage.
As the November 13 deadline approaches, all eyes remain on Starbucks’ leadership and the union as they navigate this critical phase of negotiations. The broader labor movement will be watching closely, viewing Starbucks as a potential bellwether for union efforts in large, consumer-facing companies.
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