Follow-Up: Starbucks Won't Pay, Thinks Laws Don't Apply, World Stops Drinking Coffee

In top news for what people really care about: Starbucks considers its coffee to be worth more in its weight than gold. They're fighting the $100m lawsuit by seeking an injunction, and have vowed to not discontinue their practice of sharing tips with the employees and managers.

"I want to personally let you know that we would never condone any type of behavior that would lead anyone to conclude that we would take money from our people," he (CEO Howard Schultz) said."

In a separate statement, the company also said, "Contrary to some reports, Starbucks has not taken money from any of its partners, and nor is there money to be refunded or returned from Starbucks." A spokeswoman said Thursday that Starbucks Corp. has no intention of ending the practice of sharing tips among baristas and shift supervisors in California while it seeks an injunction.

Cowett ruled that Starbucks had illegally forced baristas to share tips with shift supervisors, and the judgment could rise to nearly $106 million. The judge found Starbucks violated California law because "agents" of the company, or, in this case, shift supervisors, were sharing tips with baristas. Similar lawsuits were filed this week in Massachusetts and Minnesota, with threats of more suits in other states, including Washington.

"...Earlier this month, Starbucks agreed to pay an undisclosed amount to about 350 assistant managers who claimed in a federal case in Houston that they were forced to work off the clock...Stacey Krum, a Starbucks spokeswoman, said the company is not involved in distributing the tips. That is left up to the employees..."

Lowe (An attorney for the plaintiffs) added that Starbucks is just being defiant, and the company has an attitude that "they are just above the law."

Schultz last Friday also sent a letter to employees saying the company didn't intend to change its tipping policy. Schultz, in his voice mail message, said the company had been "grossly mischaracterized" in the media. He didn't specify any news organizations. "When I read these headlines about Starbucks skimming or stealing from our partners it's just beyond my comprehension how irresponsible it is," Schultz told the employees.

Schultz ended his voice-mail message by saying, "Hopefully we will get through this in a way in which the truth will win out."

(Well, I would think that by defying the judgement and refusing to pay what is owed is not the best way to tell the 'Truth' as the company sees fit, if it wants to be on the customers side.)


SOURCE: SeattlePI.com