Summary
Starbucks will pay $35.5 million to workers at over 300 New York City locations due to a lawsuit about schedule violations. The settlement includes civil penalties and aims to address issues like unstable schedules and cut hours, following a city law investigation impacting more than 15,000 employees.
Key Facts
- Starbucks agreed to a $38.9 million settlement due to violating NYC's Fair Workweek Law.
- Of this amount, $35.5 million will go to 15,000 affected workers at over 300 locations.
- An investigation found over half a million violations related to work schedules.
- Each eligible worker will get about $50 per week worked from July 2021 to July 2024.
- New York City's Fair Workweek Law requires consistent schedules and limits on cutting work hours.
- The company faced strikes as workers demanded better hours and staffing.
- Civil penalties and costs account for $3.4 million of the settlement.
- The New York City Department of Consumer and Worker Protection will monitor Starbucks for future compliance.
