Starbucks to pay more than $38 million to NYC workers over labor violations

Starbucks will pay $35 million to over 15,000 New York City employees for violating the city's Fair Workweek Law. The violations included unstable schedules and arbitrary hour cuts, impacting workers' ability to plan their lives. Starbucks will additionally pay $3.4 million in civil penalties to the city. The company acknowledges the law's complexity but affirms its commitment to compliance. Most impacted workers will receive $50 per week worked between July 2021 and July 2024. Workers affected after this period can file complaints for compensation. Employees laid off during store closures can seek reinstatement at other locations. New York City initiated the investigation in 2022 due to numerous worker complaints. The investigation revealed irregular schedules and routine hour reductions for many employees. Starbucks also allegedly denied workers opportunities to pick up extra shifts. This settlement coincides with an ongoing nationwide strike by Starbucks' union at multiple locations.