Starbucks has confirmed job cuts in investor filings, with a May 2026 form outlining $120 million in “employee separation” costs as part of a multi-year $2 billion cost saving programme.
According to the filing, the international coffee chain “plans to capture cost savings by further streamlining its domestic and international support organization and non-retail facilities”.
This news follows a previous announcement outlining a restructuring plan that would involve the closure of coffeehouses as part of its ‘Back to Starbucks’ strategy. These include coffeehouses deemed not to hold a “viable path to offering the physical environment consistent with the brand and a clear path to financial performance”.
Other filings with Washington state dated between 27 March to 15 May 2026 show five store closures across Seattle, and layoffs affecting baristas and shift supervisors, 61 technology roles, and 280 other roles including directors and VPs.
More recent news reports indicate layoffs have also been made across London and Hong Kong, with an estimated 120 affected in the UK capital.
The coffee chain told Trellis that it plans to bring sustainability and social impact under one leader, after sources informed the outlet that its chief sustainability officer is alleged among those impacted by job cuts.
While Marika McCauley Sine’s Linked In still indicates active employment as its CSO, Starbucks’ website does not list her or a CSO at all within its executive leadership team.
This Starbucks shake-up comes amid a period of volatile coffee prices which have been driven predominately by climate change. The price has been steadily increasing over the last five years, with particularly sharp rises in the last two. Green (unroasted) coffee has reached record highs.
Starbucks is a roaster, marketer, and retailer of specialty coffee, operating in 89 markets. Its annual 2025 fiscal report shows that as of 28 September 2025, it employed approximately 381,000 people worldwide.
