The chief executive of Starbucks, which first admitted more than a year ago that the global boycott over its activities concerning Gaza and Israel was hitting its sales hard, has announced that the company is restructuring to do away with 1,100 corporate jobs and will not look to fill many vacant posts, according to CEO Brian Niccol.
Niccol sent a memo to the firm’s office staff informing them that the company is eliminating ‘overlapping’ roles and cutting management layers – he said this is to focus on ‘efficiency’ and ‘reducing complexity’:
We aim to enhance efficiency, increase accountability, reduce complexity, and improve integration, with the goal of achieving greater focus and making a stronger impact on our priorities.
Starbucks was targeted for boycott after suing the nascent union representing some US Starbucks workers, after the union posted a social media message expressing solidarity with Palestinians, as part of its union-busting attempts. The firm ousted its then-CEO Laxman Narsimhan last August as investors panicked at tumbling sales and share prices.
In December, the Murdoch-owned Times newspaper published a whole article on Starbucks ‘running out of steam’ – without any mention of the impact of the Gaza-linked boycott.
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I was just reading a few lines about this in another article too. It has certainly impacted the bottom lines of Starbucks and Macdonalds. We need to exercise our collective people-power at every opportunity.
“How to Turn an “Economic Blackout” Into an All-Out War on Corporate Power”
https://theintercept.com/2025/02/28/no-buy-nothing-corporation-boycott-capitalism-degrowth/