Starbucks announced today that they will cut 1,370 jobs as the company is attempting to stay financially viable by closing stores and laying off employees. The company states that 500-non-store employees in the United States and 870 assistant store managers are being let go.
These layoffs come after Starbucks announced in January that it would cut 6,700 jobs and close 300 stores.
Starbucks simply oversaturated themselves by opening too many stores too close to each other. Apparently Starbucks corporate ran some sort of mathematical calculation that figured a certain number of people that experienced or witnessed lines refused to buy coffee from them so if they opened another store nearby, those potential customers would go to another location with less of a line. In a good economy, where $4 lattes were a daily luxury, it made sense. As people begin to pinch their pockets, a lot of people began to think twice about their coffee habits.
Personally, says the man with a part-time job that pays peanuts, I love Starbucks. I love their coffee, their pastries, and think their drinks are creative (and delicious). I go every chance I can, though since I’m usually glued to the computer looking for jobs, I don’t have much of an excuse to casually pass by a Starbucks, so my habit has dwindled from the days when I was in school.