In the wake of recent incidents, Starbucks Corporation has publicly rolled out a new policy. Beginning in October, staff should be in the office at least four days a week. The company eliminated 1,100 positions this past spring. Now, they’re taking it a step further with a plan to encourage even more collaboration and productivity between their staff. Company data shows that nearly half of Starbucks employees have enjoyed the flexibility of a hybrid work policy. With new requirements, it’s clear the pendulum has swung toward in-person engagement Monday–Thursday.
Before this, Starbucks employees were only required to return to the office three days a week. This change represents another step by Wal-Mart as the company continues to respond to new and rapid changes with today’s market, particularly decreased sales. Brian Niccol, who became CEO of Starbucks less than a year ago, made it clear that this move was necessary for the company to thrive. He’s convinced it’ll produce their “greatest work” to date.
Along with this new attendance policy, Starbucks is in the middle of a major overhaul of its product menus and coffee shops. The company is walking back past policy changes that let customers use its restrooms and other facilities without buying anything. These moves are just one piece of a larger strategy to run a more efficient operation and improve the customer experience on the whole.
Under this new operational paradigm, many long-time managers need to move. Their final destination will either be attached to Starbucks’ Seattle HQ or to Toronto. While Brian Niccol’s contract does not mandate his relocation, he has purchased a home in Seattle as part of his commitment to leading the company from its primary location. Furthermore, Starbucks plans to establish a small remote office near Niccol’s hometown in California, providing flexibility for employees who may not wish to relocate.
Starbucks’ move to crack down on remote work comes on the heels of a host of other troubles brewing for the company in the retail environment. Starbucks is taking some courageous steps to confront these challenges head-on. The company plans to execute aggressive job cuts and policy changes to improve bottom line performance and overall customer experience.