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Starbucks to Pay About $35M to NYC Workers to Settle Claims It Violated Labor Law

The $35 million settlement addresses over 500,000 Fair Workweek Law violations by Starbucks, affecting 15,000 workers with back pay and reinstatement offers.

  • Starbucks will pay about $35 million to more than 15,000 New York City workers and $3.4 million in civil penalties for violating the city's Fair Workweek law.
  • The company routinely reduced employees' hours by more than 15%, denied them extra shifts, and failed to provide stable schedules, making it difficult for workers to plan commitments.
  • The settlement also guarantees reinstatement for employees laid off during recent store closings in the city.
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Starbucks to pay $35 million to New York workers to settle "unfair labor" claims; compensation for 15,000 workers. New York City announced that Starbucks will pay $35 million to more than 15,000 employees after being accused of refusing to provide fixed work schedules and arbitrarily reducing working hours...

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Starbucks to pay $39M in New York City labor settlement

New York City alleged the company violated its Fair Workweek rules upwards of 500,000 times between 2021 and 2024.

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The Columbian broke the news in Vancouver, United States on Monday, December 1, 2025.
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