Summary
Starbucks agreed to pay over $38 million in a settlement after being accused of breaking New York City's Fair Workweek Law many times. The settlement will give about $35 million to over 15,000 baristas in New York City. This marks the largest worker protection settlement in the city's history.
Key Facts
- Starbucks agreed to a settlement of more than $38 million.
- Over $35 million will go to more than 15,000 New York City baristas.
- The settlement stems from violations of NYC's Fair Workweek Law.
- Starbucks is also required to pay around $3.4 million in civil penalties to the city.
- New York City Mayor Eric Adams called it the largest worker protection settlement in NYC history.
- NYC Mayor-elect Zohran Mamdani and Sen. Bernie Sanders supported striking Starbucks workers.
- Starbucks stated the payment is about compliance with the law, not unpaid wages.
