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Starbucks to cut 1,100 corporate roles in CEO Niccol's turnaround push
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Starbucks to cut 1,100 corporate roles in CEO Niccol's turnaround push
Feb 24, 2025 6:23 AM

Jan 15 (Reuters) - Starbucks ( SBUX ) said on Monday it

would eliminate 1,100 corporate roles as CEO Brian Niccol pushes

ahead with his efforts to streamline the coffee chain and turn

around its business.

The layoff would include current support partner roles and

several hundred additional open and unfilled positions, Niccol

said in a letter to employees.

"We are simplifying our structure, removing layers and

duplication and creating smaller, more nimble teams," Niccol

said. "Our intent is to operate more efficiently, increase

accountability, reduce complexity and drive better integration."

The coffee chain has been battling weak demand for its

higher-priced beverages in the U.S. and China. Investors have

been betting on Niccol, who took the helm last year, to simplify

the operating structure and revive the coffee-house culture at

its U.S. stores.

Niccol, who is credited with reviving burrito chain Chipotle

Mexican Grill, had in January said Starbucks ( SBUX ) would cut jobs and

said more details would be announced by early March.

In his new role at Starbucks ( SBUX ), Niccol has laid out a plan

called "Back to Starbucks ( SBUX )" in attempt to revive the business.

"We will continue to hire for priority positions that fit

with our new support structure and add capability and capacity

we need," Niccol said in the letter.

The layoffs would not affect in-store teams or the

investments Starbucks ( SBUX ) is making in store hours, he said.

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