Posted by ABC News on March 14, 2018 09:17:37It’s been nearly five years since Starbucks announced its plans to lay off some of its top executives.
The company laid off more than 1,500 employees, and is now counting on about 1,000 more to join the exodus.
The number is expected to be even larger, given the company’s plans to retire some of the most powerful executive positions in the world, including its chairman and chief executive officer.
What’s happening to starbucks?
Starbucks is laying off more top executives and the number is likely to rise as well, as it looks to retire the most influential roles in the company.
The company announced the changes on March 15, and laid off most of its most influential executives last year.
Starbucks CEO Howard Schultz was forced out in March 2019, following a string of executive firings.
He and other top executives will not be able to be replaced by anyone who is no longer a top executive.
The executive exodus has been particularly hard on Starbucks employees, who have seen their paychecks shrink.
Starbucks employees who are on the lower end of the income scale have seen pay fall by about 10% annually over the last five years, according to a report released by the U.S. Bureau of Labor Statistics.
In a statement, Schultz called the job cuts “unacceptable,” and said that the company was working with “top executives from the world of technology and finance to help keep the company strong.”
Starbucks said the company is continuing to evaluate the impact of these cuts and will make a decision in the coming months.
Starbucks has not said how many people it plans to replace Schultz with, but the company said it is considering the possibility of bringing in another executive who has experience in financial services or technology.
Starbuck’s chief executive and chairman, Howard Schultz, was forced to step down from his position as chairman of the board of directors earlier this year after a string and ongoing string of firings by top executives at the company, including his chief rival, Starbucks cofounder and CEO Howard Roark.
Roark, who has been the CEO since 2014, has been embroiled in a lawsuit with Starbucks that accuses him of using the company as a personal investment vehicle.