Starbucks has announced a significant shift in its remote work policy, requiring some employees to return to its headquarters. Starting in early October 2023, corporate staff will need to be in the office four days a week, an increase from the previous three-day requirement. This change was communicated in a letter to employees from Brian Niccol, Chairman and CEO of Starbucks.
In a move aimed at reestablishing the company’s in-office culture, Starbucks stated that all corporate “people leaders” must be based in either Seattle or Toronto within the next 12 months. This announcement marks a shift from earlier this year when the company mandated that only vice presidents relocate to these key locations. While individual employees working under these leaders will not be required to move, all future hiring and lateral moves will necessitate a base in Seattle or Toronto.
Niccol emphasized the importance of in-person collaboration in his letter, stating, “We do our best work when we’re together. We share ideas more effectively, creatively solve hard problems, and move much faster.” The company believes that this return to the office will enhance productivity and innovation.
For those affected workers who choose not to relocate, Starbucks is offering a one-time voluntary exit program that includes a cash payment. This move comes as many companies, including major employers such as Amazon and AT&T, have begun requiring employees to work on-site full-time, reflecting a growing trend in the corporate world.
Starbucks has approximately 16,000 corporate support employees globally; however, Starbucks spokesperson Lori Torgerson mentioned that she did not have an exact count of how many are currently working as “people leaders” or remotely.
Interestingly, when Niccol was appointed to lead Starbucks in August 2022, he was not required to relocate to Seattle. Instead, the company assisted him in establishing an office near his home in Newport Beach, California, and provided a corporate jet for his commutes to Seattle. Since then, he has purchased a home in Seattle and is a regular presence at the company’s headquarters, according to Torgerson.
The company’s decision reflects a broader movement among corporations to strengthen their in-office presence following the pandemic. While many workers have adapted to remote work, the demand for in-person collaboration continues to shape corporate policies across various industries. As Starbucks implements these changes, it remains to be seen how employees will respond to the new requirements.