Starbucks Union Approves Open-Ended Strike Ahead Of Red Cup Day Rush

(RTTNews) - Starbucks (SBUX) Workers United has voted to authorize an open-ended strike that could begin on Red Cup Day, one of the coffee chain's busiest annual promotional events, if a collective bargaining deal isn't reached by November 13.

The vote passed with 92 percent support, reflecting frustration over stalled contract negotiations that broke down late last year.

The union, representing more than 12,000 baristas across 650+ stores, is seeking higher pay, stable scheduling, and resolution of hundreds of unfair labor practice complaints. Starbucks disputes the union's size, estimating it represents workers at about 550 locations.

The strike could disrupt Starbucks' crucial holiday quarter, when demand surges for seasonal drinks, merchandise, and the highly popular giveaway of reusable red cups that draw heavy store traffic.

Starbucks said it plans to remain fully operational across its nearly 18,000 stores and criticized the strike move, claiming it already offers top retail wages and industry-leading retention. The company said it remains ready to return to bargaining.

The labor tension comes as Starbucks pushes a turnaround under CEO Brian Niccol. Same-store sales recently returned to growth, and the company is executing a $1 billion restructuring, including store closures and layoffs, as part of its broader "Back to Starbucks" strategy.

Thursday, SBUX closed at $82.22, down 0.80%, and is trading after hours at $82.41, up 0.23% on the NasdaqGS.