Starbucks Faces Labor Battles: Court Upholds Union Election in Seattle and Supreme Court Hears Dispute in Tennessee

Starbucks encountered significant legal challenges this week, as the Ninth Circuit Court upheld a ruling mandating the recognition of a union at its flagship Seattle Roastery. The court’s decision came following a tightly contested election at the upscale Starbucks Reserve location, where 38 workers voted in favor of union representation against 27 opponents.

The contentious dispute arose after Starbucks contested the election results, citing the National Labor Relations Board’s allowance of a mail-in vote due to escalating COVID-19 cases in Seattle at the time. However, the court sided with the NLRB’s decision, emphasizing the necessity of the mail-in ballot given the public health circumstances in the area.

In a separate development, negotiations between Starbucks and the Starbucks Workers United union resumed in Atlanta after a hiatus since May 2023. The union, representing over 10,000 Starbucks employees, had previously engaged in protests and advocacy efforts, including a campaign for a seat on the company’s board of directors and a trademark infringement lawsuit for unauthorized logo use.

On a parallel track, the Supreme Court recently heard oral arguments pertaining to a labor dispute involving Starbucks in Memphis, Tennessee. The case centered on the NLRB’s directive for Starbucks to rehire workers attempting to unionize, a decision questioned by both liberal and conservative justices during the proceedings.

At present, Starbucks is evaluating its options in response to the Ninth Circuit Court’s ruling. The company’s spokesperson indicated a commitment to supporting employees’ right to organize and advancing negotiations towards finalized store contracts in the upcoming months.