• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Exclusive

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

LeadershipLabor

Howard Schultz says union push at Starbucks is a sign of ‘much bigger’ social problems—but CEO admits the coffee giant ’lost its way’

By
Chloe Taylor
Chloe Taylor
Down Arrow Button Icon
By
Chloe Taylor
Chloe Taylor
Down Arrow Button Icon
February 22, 2023, 8:23 AM ET
Starbucks Chairman and CEO Howard Schultz speaks during Starbucks annual shareholders meeting March 18, 2015 in Seattle, Washington.
Howard Schultz, pictured in 2015, said in a recent interview that Starbucks “lost its way” before his return as CEO—but he still didn’t believe workers were better off in a union.Stephen Brashear—Getty Images

Starbucks’ outgoing CEO Howard Schultz has made it no secret that he doesn’t believe in labor unions—but now he has revealed he thinks the unionization movement gripping the coffee giant is a sign of wider social problems in America.

In an interview with CNN that aired on Tuesday, Schultz suggested the rise of labor organizations—which has also hit major corporations including Amazon, Apple, and Tesla—was a symptom of deeper societal issues.

“It’s my belief that the efforts of unionization in America are in many ways a manifestation of a much bigger problem,” he said. “There is a macro issue here that is much, much bigger than Starbucks. I’ve talked to thousands of Starbucks partners, and I was shocked, stunned to hear the loneliness, the anxiety, the fracturing trust in government, the fracturing trust in companies, fracturing trust in family, a lack of hope in terms of opportunity.”

Starbucks refers to its employees as partners.

Starbucks ‘lost its way culturally’

Schultz, who helped Starbucks embark on its rapid expansion in the 1980s and 1990s and almost ran for president in 2020, told CNN’s Poppy Harlow that he had returned to the company as interim CEO to restore its employees’ faith in the firm.

“I came back this past year because the company really did lose its way, and it lost its way culturally,” he admitted. “The unions showed up because Starbucks was not leading in a way that was consistent with its history in terms of being a values-based company, and I came back to basically restore those values.”

Schultz will “fully transition” out of the role of CEO next month, and told Harlow he would definitely be done leading the company once and for all when he stepped down.

However, he insisted that the labor issues which had plagued his third and final tenure at Starbucks would not damage his or the company’s legacy.

“The history of Starbucks has been that we have been a compassionate company,” he said. “The union issue is one of many issues that Starbucks faces.”

He added that the unionization movement was “not an existential threat” to the global coffee chain.

“I recognize that Starbucks partners have the right to unionize, but we have a right as a company to create the vision for the company, which the large, vast majority of Starbucks partners embraces,” he said.

Representatives for the labor union Starbucks Workers United were not immediately available for comment on Schultz’s interview when contacted by Fortune.

Starbucks’ union headache

Schultz returned to the helm of Starbucks for the third time last April as it faced an unprecedented unionization drive.

By the end of last year, more than 300 Starbucks stores across dozens of states had held union elections, with one unionized barista telling the Guardian in November that many workers joining the movement felt that the company did not “treat us like human beings.”

More than 260 of Starbucks’ 9,000 company-run stores have voted to unionize since the end of 2021, with members seeking things like better pay and benefits, paid sick leave, and improved health care coverage.

Schultz said in Tuesday’s interview that the company already offered “unprecedented benefits, not because a union told us to, but because [of] the conscience of the company.”

The firm’s employee benefits include paid parental leave, tuition reimbursement, health care coverage, and discounted company stock.

Schultz has made no secret of his feelings on unionization in the past, putting the company in direct opposition and arguing it functions better when it works directly with its staff.

“I’m not an anti-union person. I am pro-Starbucks, pro-partner, pro–Starbucks culture,” Schultz reportedly said at a town hall with employees last year. “We didn’t get here by having a union.”

In a letter to U.S. employees shortly after kicking off his third stint as CEO, Schultz urged staff to resist “colluding with outside union forces.”

“I do not believe conflict, division, and dissension—which has been a focus of union organizing—benefits Starbucks or our [employees],” he said.

Under Schultz’s leadership over the past 10 months, Starbucks has increasingly found itself at loggerheads with labor unions, with the coffee chain accused of retaliating against unionized workers by closing their stores or forcing them out of their jobs.

Despite negotiation efforts, more than 1,000 of the company’s American employees staged a three-day walkout at the end of last year—the second major strike at Starbucks within a month.

Earlier this month, Sen. Bernie Sanders, who chairs a committee on labor issues, and 10 other lawmakers, invited Schultz to testify at Congress about Starbucks’ compliance with federal labor laws. Schultz declined the invitation, but offered to send another executive in his place.

Learn how to navigate and strengthen trust in your business with The Trust Factor, a weekly newsletter examining what leaders need to succeed. Sign up here.

About the Author
By Chloe Taylor
LinkedIn iconTwitter icon
See full bioRight Arrow Button Icon

Latest in Leadership

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Leadership

Donald J. Trump
C-SuiteDonald Trump
EXCLUSIVE: An hour in the Oval Office with the CEO-in-Chief, President Trump
By Alyson ShontellMay 18, 2026
17 minutes ago
shyam
CommentaryHealth
World Economic Forum: women’s health gets only 20% of R&D funding. We must seize this $1 trillion opportunity
By Shyam BishenMay 18, 2026
3 hours ago
This community college student is America’s entrant in the Olympics of skilled trades. ‘I always wanted to be the first female to do something’
Future of Workthe future of work
This community college student is America’s entrant in the Olympics of skilled trades. ‘I always wanted to be the first female to do something’
By Mike Householder and The Associated PressMay 17, 2026
16 hours ago
murdochs
CommentaryMedia
OpenAI paid $100 million for a talk show. James Murdoch is eyeing an even bigger deal. The hot new asset class is humanity
By Lin CherryMay 17, 2026
19 hours ago
dennis
CommentaryAI agents
Freshworks CEO: why agile enterprises are winning the AI race — and what they did differently
By Dennis WoodsideMay 17, 2026
19 hours ago
A man with a headset sits at a desk in a call center.
EconomyAutomation
The AI boom hasn’t stopped U.S. companies from hiring cheap offshore labor, and overseas call center employment is still skyrocketing
By Sasha RogelbergMay 17, 2026
19 hours ago

Most Popular

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
AI
Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
By Jake AngeloMay 16, 2026
2 days ago
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
Politics
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
By Jake AngeloMay 12, 2026
5 days ago
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
Economy
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
By Jason MaMay 17, 2026
14 hours ago
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
Success
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
By Sydney LakeMay 17, 2026
20 hours ago
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
Politics
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
By Jason MaMay 16, 2026
1 day ago
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
Innovation
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
By Jason MaMay 16, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.