Business

Starbucks is closing flagship roastery near Seattle headquarters as it shutters 1% of stores and lays off 900 staff

By Anna Wright,Editor

Copyright dailymail

Starbucks is closing flagship roastery near Seattle headquarters as it shutters 1% of stores and lays off 900 staff

Starbucks is closing its flagship roastery and making other drastic changes that may affect your morning coffee run.

The coffee chain announced this week that it is closing hundreds of locations, including the iconic Seattle Reserve Roastery.

Chairman and Chief Executive Officer Brian Niccol said on Thursday it would close one percent of its corporate-owned stores across North America.

The Daily Mail reached out to Starbucks for the exact number of store closures, but they did not immediately respond.

Most of the store closures appear to be in the U.S. and Canada, according to the Associated Press.

Starbucks plans to end the fiscal year with nearly 18,300 stores total in the U.S. As of June 29, there were 18,734 stores.

The coffee giant nixed locations they believed were ‘unable to create the physical environment our customers and partners expect’.

The firm also closed coffeehouses where they ‘don’t see a path to financial performance’.

The Seattle Reserve Roastery announced the news with a closure letter posted on their door.

The Roastery, located in Capitol Hill by Starbucks’ headquarters, was quickly boarded up following the heavy-hearted announcement.

The Seattle Reserve Roastery was the first of it’s kind when it opened in December 2014 with a tasting room and a luxurious menu, including alcoholic beverages.

It was one of the first unionized Starbucks stores after workers voted in April 2022.

Starbucks confirmed to Business Insider ‘union-represented status was not a factor in the decision to close the store’.

The coffee giant is also eliminating 900 current non-retail partner roles and positions in what appears to be a ‘turnaround’.

In a press release, Starbucks said they are ‘investing in green apron partner hours, more partners in stores, exceptional customer service, elevated coffeehouse designs, and innovation to create the future’.

They added they are trying to manage their costs and focus on areas that ‘drive long-term growth’.

They included ‘generous’ severance and support packages for the employees who were laid off.

A spokesperson for Starbucks Workers United, which represents about 12,000 baristas, told Business Insider the union is trying to ensure any cut baristas are relocated to new stores.

Chairman Niccol emphasized these decisions were not made lightly and believes ‘these steps are necessary to build a better, stronger, and more resilient Starbucks’.