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A planned new wage framework is expected to take effect from July 1, according to the article.
Starbucks, the world's largest coffee chain, said it will expand tipping to credit card payments for orders placed through its app and will allow tipping when customers pay at the counter with a credit or debit card. Previously, tipping was limited to customers paying cash or with Starbucks cards when ordering in-store or via drive-through or through the app using cash. In the future, customers will be able to tip when paying with a credit card for app orders and when scanning to pay at the counter. The Seattle-based company also plans to award bonuses to baristas at stores that meet performance targets, including sales, operations, and customer-satisfaction metrics. Under the program, baristas and shift managers at top-performing stores could receive $300 per quarter, or about $1,200 per year. Starbucks says that expanding tipping and adding bonuses could raise barista incomes by roughly 5% to 8%, depending on tipping levels from customers. The new policies are expected to be rolled out at company-operated stores starting in July. "This is recognition for the teams that work together to deliver excellent service," an internal message from a Starbucks representative said. The move comes as Starbucks pursues a broader restructuring of its U.S. operations, with CEO Brian Niccol targeting service quality as a lever to boost revenue. However, this is also a sensitive moment in the relationship between the world's largest coffee chain and a portion of U.S. baristas. Starbucks has not yet reached a new contract with the Starbucks Workers United union, which represents about 600 of its roughly 10,000 stores in the United States. During the past winter, some unionized stores temporarily closed or limited operations to protest stalled negotiations. Union baristas have been pressing for improved wages and working conditions. Last month, Starbucks and the union agreed to resume talks, with negotiations expected to begin this month—the first direct talks in more than a year. Currently, Starbucks says the total income (wages and benefits) for U.S. baristas runs about $30 per hour. However, applying the new bonuses and tipping policies at around 5% of unionized stores will still require separate negotiations by both sides. Starbucks's move is not just about increasing employee income; it also reflects a shift in how service businesses view the role of the customer experience. In the increasingly competitive U.S. coffee market, where many new brands are emerging with personalized and fast service models, Starbucks is returning to the core value: service quality at every store. Promoting tipping through digital payment channels suggests the company is adapting to new consumer behavior, where cashless transactions are becoming more common. However, questions remain whether these policies will be enough to address deeper tensions with the workforce in the future. Source: WSJ
In brief\n\nBitcoin dropped to about $93,000, falling back below the EMA50 and putting its recent golden cross at risk of invalidation. The global crypto market cap stands at $3.15 trillion, down 2.38% in 24 hours. On Myriad Markets, 82% of the money is betting on Bitcoin pumping to $100K before…
