Starbucks said - vacant positions will also be eliminated; Plans to lay off 1100 employees

Starbucks coffee firm has announced that it will dismiss 1,100 employees globally. The company will also cancel scores of vacant positions in addition to this move. The company has done this with the motive of improving the operation of the company. The employees that will be dismissed will be notified within Tuesday afternoon, the company announced in a message sent to employees on Monday. The company will also cancel scores of vacant positions, the company further added.

We need to be working better, be accountable, be simpler, and be integrated better, the company CEO explained. The company has 16 thousand employees working throughout the world. The employees of the company that will not be affected include the employees who roast the coffee beans the barista and the employees that work in the company stores.

In January, Nicole said that layoffs would be announced in early March. All work should be overseen by someone who can make decisions. Our size and structure can slow us down. Starbucks appointed Nicole as CEO last year to improve sluggish sales. He has said that he wants to improve service time. He wants to re-establish the stores as community gathering places.

In the past year, Starbucks' global sales have declined by 2 percent in the 2024 fiscal year. The main reason for this is believed to be price hikes and increasing wait times in the US. In China, it is facing tough competition from chains providing cheaper coffee options. Starbucks shares remained stable in premarket trading on Monday.