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February , 2008
SEATTLE - Starbucks Corp. said Thursday that it has laid off about 220 support staff who worked at the coffee retailer's headquarters and in field operations, and will leave about 380 open jobs unfilled.
Chairman and chief executive Howard Schultz announced the 600 job cuts in an e-mail to Starbucks' more than 170,000 employees, calling it a difficult decision aimed at sharpening the company's focus on customers.
The vast majority of laid-off employees worked in the U.S. --about one-third at the company's Seattle headquarters and the rest in regional field offices. Support staff include people who work on marketing, finance, human resources, communications and supply chain management.
Starbucks has been struggling amid a faltering economy, its own rapid growth and increased competition from cheaper rivals. The moves are the latest in a series of changes Starbucks has made since it fired its previous CEO, Jim Donald, and gave the job back to Schultz in early January.
Starbucks will open hundreds fewer U.S. stores this year than initially planned, and is closing about 100 poorly performing domestic stores and ramping up its expansion overseas.
Starbucks recently announced that it will quit selling warm breakfast sandwiches by this fall, in part because the egg, cheese, bacon and ham competed with the coffee aroma in stores.
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