Starbucks will be raising the base pay of its workers this fall, Money reports. Starting October 3, all workers and managers at U.S. company-owned stores will receive a raise of at least 5%.
The announcement comes after employees circulated an online petition claiming an “extreme” cutback of staffing hours due to the Starbucks app, which allows for mobile ordering and paying.
CEO Howard Schultz wrote in a statement on Starbucks’ website that the raises will range from 5 to 15%, depending on location. Additionally, Starbucks will double stock rewards for employees currently offered through its Bean Stock program.
The statement also included an announcement of plans to revise the employee dress code and address the scheduling complaints raised by the petition. Schultz emphasized the company’s commitment to what he described as “striking the delicate balance between profit and a social conscience.” Starbucks will also be expanding its healthcare coverage options, which, by its estimates, could save employees between $800 and $2,600 annually.
The raise will affect some 150,000 employees nationwide, Money estimates.
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