Benefits of Starbucks Employee

Starbucks Corporation is unique in being able to provide a high level of benefits to its employees. This can be due to the Starbucks’ total pay package, “Your Special Blend” which is unique to each employee. Workers who worked full time or part time are called as partners and entitled to receive health benefits like health, medical, dental and vision benefits.

In 2005, Starbucks spent more on health insurance for its employees rather than on raw materials to brew its coffee. On the other hand, workers who work more than twenty hours a week can receive stock options, known as “Bean Stock”. The board of director determines annual stock option grants based on company performance up to 14 percent of partners’ eligible base wages. Every partner through the director level receives the same percentage of their fiscal-year wages. Workers may participate in a variety of programs and make choices based on individual needs and interests. Starbucks also provide other total pay packages which depend on job and personal situation to its employees, such as Progressive Compensation Package, Retirement Savings Plan, Income Protection Plan (Life and Disability Coverage), Management Bonus Plan, Adoption Assistance Plan, Domestic Partner Benefits, Referral programs and support resources for child and eldercare. Partners can also purchase company stock at a discounted price on a quarterly basis or a semiannual basis and get a pound of coffee each week.
Diversity is the core culture and essential component in the way Starbucks conduct business. Orin Smith, Starbucks president and CEO had said that “Embrace diversity is not only the right thing to do socially or ethically, it’s good for business, as the world becomes more and more complex, having diverse work team helps us to be more adaptive as a company.” This is especially critical because Starbucks is expanding internationally. When Starbucks creates a diverse workplace in which every partner’s voice is heard and will succeed while learning from one another. Besides, they believe that building understanding, respect and appreciation from different people can make better decision. It is definitely a part of Starbucks value system. Total workforce in Starbucks was comprised of 28% minorities and 64% women. They hire and retain partners with a variety of disabilities into diverse pool of jobs. On the other hand, diversity education and recognition are priorities at Starbucks. The diversity learning journey workshops are offered to partners to assist with understanding each partner’s role in creating a healthy work environment and awareness diverse needs of different partners and customers. Furthermore, Starbucks workplace policies provide for equal employment opportunity, and strictly prohibit discrimination or harassment on the basis of age, race, gender, color, religion and physical or mental disability as well as any other basis prohibited by law.

Starbucks continually invest in training programs and career development initiatives to help all new partners grow and advance their careers through an extensive orientation and fundamental training program. Some of the education programs like Coffee Education which focuses on the Starbucks passion for coffee and understands the company core product. For example, baristas (refers to one who has acquired some level of expertise in the preparation of espresso-based coffee drinks) will receive two weeks of initial training to become experts in the preparation and delivery of Starbucks product. After 90 days on the job, they will receive additional training to deepen their coffee knowledge and build their confidence. Another program is Learning to Lead, a three-level program for baristas to develop leadership skills. When barista moves into another retail position, he or she will receives four weeks of training as a shift supervisor, eight months of development as an assistant store manager, eight weeks as a store manager and 15 weeks as a district manager trainee. The last program is Business and Communication, Starbucks Support Center (SSC) will offers a variety of classes ranging from basic computer skills to conflict resolution and management training.

The goal of Starbucks is to create the best possible workplace environment for their partners. Treating each other with respect and dignity is the first on Starbucks’ six point’s mission statement. Starbucks encourages its employees to keep in mind its mission statement and emphasizes on belief that partners’ opinion should be heard and valued by invite partners by giving feedback through a variety of channels like conducting partner view surveys. Starbucks will conduct a partner view surveys approximately every 18-24 months to get feedback from partners around the world. The surveys touched much on extension of the partner experience, including development, communication, senior leadership, coffee knowledge and work condition. They will use the feedback to make adjustment and improvement in order to increase their partners’ satisfaction in their work. Other channel that can be used to get feedback is business conduct helpline, a toll free phone number that partners can call and it is operating 24 hours. Besides, Starbucks workers can also send email to BusinessConduct@Starbucks.com for any enquiries.

As a conclusion, Starbucks is unique in providing high level of benefits to its employees by providing total pay package to their partners. Moreover, Starbucks embraces diversity as an essential component in the way they do business. Thus, Starbucks has a partner’s turnover rate of 60 percent compared to the restaurant industry average of 200 percent. 82 percent of the partners rated being “very satisfied” and 15 percent as “satisfied” with their jobs. Furthermore, the company also offer training and education program for all the partners to conform to their career at Starbucks and provide a strong workplace environment to partners.