Starbuck's Union Issues

Unions are interesting things...

The National Labor Relations Board found on Dec. 23 that Starbucks had illegally fired three New York City baristas as it tried to squelch the union organizing effort. The 88-page ruling also says the company broke the law by giving negative job evaluations to other union supporters and prohibiting employees from discussing union issues at work. The judge ordered that the three baristas be reinstated and receive back wages. The judge also called on Starbucks to end discriminatory treatment of other pro-union workers at four Manhattan locations named in the case. The decision marks the end of an 18-month trial in New York City that pitted the ubiquitous multinational corporation against a group of twentysomething baristas who are part of the Industrial Workers of the World.

I tend to be of the opinion that if workers are happy than they typically would choose not to participate in a Union. Starbucks' flexible scheduling system (along with working people just under full time) is a big reason for these problems. Here is an interview with Howard Schultz from 2004 detailing the company's Heath Care cost problems:

Without a doubt, it's health-care costs. We just had to raise our prices for the first time in four years. That is primarily because of the rising costs of health insurance and also dairy prices. Over the next two years, we will spend more for employee health-care costs than we will for coffee. That's quite a statement.

The companies that are doing the right thing by covering their employees are paying for the companies who don't do the right thing. Starbucks provides health insurance for all employees working 20 hours a week and up.

Funny thing how flexible the concept of "do the right thing" can be...