Starbucks continues layoffs, cuts hundreds of support roles across US
Published in Business News
Starbucks is laying off hundreds of employees across the U.S. as it attempts a turnaround.
Starbucks announced Friday that it plans to lay off 300 workers. The news came less than a week after the company let go of 61 corporate employees as a result of a reorganization in its technology department, according to a state filing.
Leaders have taken a hard look at their respective functions to further sharpen focus, prioritize work, reduce complexity, and lower costs," a Starbucks spokesperson said.
The Seattle-based coffee giant, under CEO Brian Niccol, has been on a cost-cutting crusade in a bid to bring the company back to sustained, profitable growth. Since Starbucks brought Niccol on to lead the company in September 2024, Starbucks has slashed corporate ranks, closed stores and is now pruning its retail support ranks while closing regional support offices.
The company is also shedding parts of its real estate portfolio by closing several regional support offices across the U.S., a Starbucks spokesperson said. Employees who work in those offices who aren't affected by layoffs will become remote workers.
The layoffs are directly related to Starbucks' turnaround strategy, dubbed "Back to Starbucks," an initiative that Niccol unveiled soon after taking the helm. Niccol's goal has been to revive Starbucks' image as a traditional coffeehouse with lower wait times and more staff. He's also been thinning corporate ranks.
The company's corporate employees went through two significant rounds of layoffs last year.
In February 2025, Starbucks laid off 1,100 employees, 612 of whom worked in the company's Sodo headquarters. At the time, Niccol said Starbucks was simplifying its corporate structure by shedding redundant roles and "creating smaller, more nimble teams."
In October, as part of a $1 billion restructuring plan, Starbucks axed an additional 974 workers in Seattle and Kent. Though the company described the cuts as "primarily corporate, workers at the Sodo Reserve Store and the Seattle Roastery lost their jobs as those stores shut down.
As the company continues to cut costs, Starbucks says its turnaround strategy is working. The company also made its case to Wall Street last month when it released financial results for the second quarter, which ran from January through March.
Starbucks beat analysts' estimates on revenue and profit, showing sales were up nearly 9% from the year prior. The company reported $511 million in profit, a 33% jump year-over-year.
The company says its focus is now on sustaining its growth and making sure the results are repeatable.
©2026 The Seattle Times. Visit seattletimes.com. Distributed by Tribune Content Agency, LLC.










Comments