Former Starbucks CEO grilled over alleged union-busting

Howard Schultz hears it from Sen. Bernie Sanders over resistance to unions

Briana Vannozzi, Anchor | March 29, 2023 | Business, More Issues

Sen. Bernie Sanders and other federal lawmakers got a chance Wednesday to grill former Starbucks CEO Howard Schultz, who appeared before a Senate committee under threat of subpoena. Schultz is facing allegations his company has been breaking labor laws as it fights a nationwide unionization effort. Sanders (I-VT), chair of the Senate Committee on Health, Education, Labor and Pensions, repeatedly referenced Schultz’s personal wealth made from the company — some $4 billion — and whether that has enabled him to skirt the law.

Since December 2021, workers at nearly 300 Starbucks stores have voted to unionize, including four in New Jersey. But Starbucks has yet to sign a contract with one. The company closed some unionized locations and fired some workers involved in the organizing. Schultz has insisted Starbucks didn’t break any labor laws and has treated workers with respect, including paying well above minimum wage.

“Are you aware that NLRB judges have ruled that Starbucks violated federal labor law over 100 times during the past 18 months? Far more than any other corporation in America,” asked Sanders.

“Sir. Starbucks Coffee Company unequivocally, and let me set the tone for this very early on, has not broken the law,” said Schultz.

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