Starbucks to Cut Management Workforce

The move is part of the company’s ‘Back to Starbucks’ strategy.

January 20, 2025

Starbucks expects to eliminate jobs as part of its broader operations strategy, the Wall Street Journal reported. CEO Brian Niccol said he did not specify how many positions would be cut but clarified they would not affect in-store teams. An announcement is expected by early March.

Niccol stated that the company needs to reduce “silos and duplications of effort,” indicating that having too many managers and coordinators could be slowing down the coffee shop chain.

In a letter posted on the Starbucks website, Niccol said the company’s support teams need to be organized more effectively to ensure “capacity and capabilities to deliver on Back to Starbucks,” prioritizing efforts that most impact store experiences. He identified areas for improvement, including:

  • More ownership and accountability
  • Clearer priorities and reduced complexity
  • Better integration

During his four-month tenure so far, Niccol has:

Earlier this month, Starbucks began enforcing a new code of conduct in its North American cafes—reversing a nearly seven-year policy of allowing the general public to use restrooms or linger without a purchase. Under the new rules, customers must “buy or leave.”