As Starbucks tries to crush a growing union drive among its workers, the companyās executives quietly admitted to investors that their anti-labor activities may destroy the coffee giantās public image.In the fine print of the companyāsĀ recent government filings, Starbucks first admits that āour wages and benefits programs may be insufficient,ā but then slams unions, saying if labor organizing is successful āour labor costs could increase and our business could be negatively affected.āThen the company made a stunning admission: āOur responses to any union organizing efforts could negatively impact how our brand is perceived and have adverse effects on our business, including on our financial results.āStarbucksā billionaireĀ CEO, Howard Schultz, has been spearheading a public crusade to stop unionization ā but so far more thanĀ fifty Starbucks stores have voted to unionize, and over a hundred more have votes scheduled.
Just yesterday,Ā Schultz announcedĀ that Starbucks would be raising wages at its stores ā except at those stores which have unionized or have scheduled union votes. Labor law expertsĀ toldĀ The New York TimesĀ that withholding raises only from unionized workers, or workers in the process of unionizing, is likely illegal.
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