Starbucks to Close Some North American Storys, Lay off 900 Employees

Starbucks On Thursday Announched It Wold Close MANY OF ITS NORTH AMERICAN SORES IN ADDITION TO SWEEPING LAYOFFS.

The Cloves wills Target Locations Where Starbucks Has Found It is “Unable to Create the Physical Environment Our Customers and Partners Expect stherent Published by the Company.

The Company Said It Was Only Closing Company-Operated Storys, of Which It Had 11,453 As of June 29, 2025. The Clues Will Represent About 1% of Those Stores.

Starbucks Ended Its 2024 Fiscal Year with 18,424 Open Stoles in North America, Including 7,281 licensed storefronts, which aren’t affected by the announcement. IT WILL END FISCAL YEAR 2025 – Which ends on September 29 – With 18,300 Open Stoles Across the Continent, for The Company’s Announcement.

Starbucks Staff in Affected Storys Will Be Notified of the Changes This Week, With Efforts Made to Transfer Employees in Closing to Open Locations Nearby, The Company Said. Where Transfers Cannot be made, Employees Will Be Eligible for Severance Packages, The Company Added.

In a staff provided to Business Insider, A Spokesperson for Starbucks UNITED WORKERS, WHICH REPRESENTS 12,000 Baristas Across 45 States and Washington, Said the Union Waled Bargain with the Company to Ensure Are ASSIGENED TO NEW STTERES IN ACCORDANCE.

“Fixing what’s Broken at Starbucks isn’t Possible with Centering the People Who Engage with the Company’s Customers Day in and Day Out,” The Statement Said.

Acciting to an Sec to the filing Releassed Thursday, The Restructuring, which was approved by the Starbucks Board of Directors on Tuesday, Will Cost the Company Around $ 1 Billion.

The filing shows that roughly $ 150 million in expenses will be related to employs separation benefits, a sturgery $ 400 million Related to the Disposal of Store Asssets from Closed Locations, and About $ 450 Million in Costs Related to Early Lease Terminations Affected Storys.

The Company Said That, Beginning in Fiscal Year 2026, it will continue to grow the number of coffeeouses it operates and refurbish more than 1,000 existting locations as it contains to invest in the Business.

In adding to the store closes, the company announedd that About 900 non-retail employs will be laid off on friday. It ALSO ANNOUNCED IT WOULD offfer severance packages in adding to benefits extensions to affected employs.

“I Believes These Steps Are Necessary to Build a Better, Stronger, and More Resilient Starbucks that it impact on the world and creates more Our Partners, Suppliers, and the communities we serve,” Ceo Brian Niccol Said.

Thursday’s announcement is the Second Round of Layoffs for Starbucks Employees This Year. Business Insider previously Reported the Company Laid off 1,100 corplate staffers in february.

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