The National Labor Relations Board (NLRB) will in all probability sue Starbucks Corporation to force reopening of 23 stores that were illegally closed to avert a union campaign.

Starbucks is facing a ground swell of demands for unionization with workers at 360 of the approximately 9,000 U.S. stores voting to join unions since 2021.  In July a NLRB administrative judge ruled that Starbucks had illegally shuttered a store in Ithaca, NY. within months after it unionized.  The NLRB has determined that eight stores were closed after pro-union votes. 

The NLRB complaint maintains that 23 stores were closed without appropriate notice to the union and that the Company failed to enter into negotiations with Workers United representing Starbucks employees.

Starbucks’ management supported by the Board has determined that it has not adopted an anti-union policy and is in compliance with U.S. labor law.  The NLRB has filed for an order requiring Starbucks to reopen the 23 stores and rehire employees, bargain in good faith with Unions at stores that have opted for a representation and to provide back pay and benefits to workers laid off. 

Irrespective of the outcome of the NLRB case to be heard before an Administrative Judge, Starbucks has obviously undergone degradation of corporate image among customers, has been attacked in social media and will face increased shareholder criticism.