US Starbucks Raises Wages by Over 10%... In Response to Biden Administration?

Starting Next Month 14, Store Employees' Wages to Be Increased

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] U.S. Starbucks has decided to raise store employees' wages by more than 10% starting next month. This appears to be a preparation for the Biden administration, which has pledged to increase the minimum wage.

On the 18th (local time), CNBC cited internal Starbucks documents and reported that U.S. Starbucks store baristas and managers will receive a wage increase of more than 10% per hour starting from the 14th of next month.

Starbucks plans to raise wages by 11% for employees with more than three years of service and by more than 5% for entry-level staff.

This document was prepared by Rozan Williams, head of Starbucks' U.S. store division, on the 2nd, the day before the presidential election.

CNBC reported that Starbucks' wage increase plan was made in anticipation of the Biden administration raising the federal minimum wage, which has been stuck at $9.25 per hour for over 10 years in the U.S. food service industry.

Biden, after being elected, announced plans to raise the federal minimum wage to $15 per hour.

At the state level, eight states have already raised the minimum wage to $15 per hour. Most recently, Florida decided to raise it to $15 per hour over six years.

U.S. Starbucks store employees' wages are already higher than the federal minimum wage and are at a higher level compared to other retail companies or food service franchises.

This content was produced with the assistance of AI translation services.