Federal labor board accuses Starbucks of closing Portland stores over unions
PORTLAND, Ore. (KOIN) — The National Labor Relations Board has directed Starbucks to reopen 23 stores nationwide that closed last year, alleging the company shut down operations due to some employees’ involvement with unions.
According to the complaint issued by NLRB’s Seattle office, three of the affected stores were located in the Portland area: one on Southwest Morrison Street, a second on Northeast Halsey Street and another on Northwest Lovejoy Street.
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Out of the 23 locations highlighted in the document, eight had employees that were already represented by Workers United Labor Union International — including Portland’s Pearl District store. When that store’s closure was announced in October last year, employees cited safety concerns.
The federal labor board maintained that most of those locations were shuttered “because its employees engaged in union and/or protected, concerted activities, and/or to discourage employees from engaging in union and/or protected, concerted activities.”
But the coffee giant insists the closures were a part of routine company proceedings.
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“In support of our Reinvention Plan, and as part of our ongoing efforts to transform our store portfolio, we continue to open, close and evolve our stores as we assess, reposition and strengthen our store portfolio,” Sara Trilling, executive vice president and president of Starbucks North America, said in a statement.
In addition to reopening the stores, NLRB’s complaint also asks the company to offer jobs to all of the affected employees and compensate them for “interim employment expense,” among other terms.
The corporation has until Dec. 27 to respond to the agency.
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Former Starbucks CEO Howard Schultz, who stepped down from his role after a decades-long career with the company, had previously been scrutinized over the coffee giant’s “aggressive and illegal union-busting campaign” — in the words of U.S. Sen. Bernie Sanders.
Schultz was replaced by Laxman Narasimhan, who told AP News the company works best when it has a “direct relationship” with its employees.
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