Starbucks' Schultz will be giving testimony to Sanders-chaired committee
Schultz refused to testify before but made an agreement with Sanders in lieu of a subpoena
Starbucks Interim CEO Howard Schultz will now be giving testimony later this month to a committee chaired by Independent Vermont Sen. Bernie Sanders
Schultz’s appearance before the Senate Committee on Health, Education, Labor and Pensions (HELP) will take place March 29, respective statements Tuesday from Sanders’ office and the coffeehouse company said. The testimony appears to be scheduled for the morning that day, according to the letter Starbucks general counsel Zabrina Jenkins sent to the committee.
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The news about Schultz agreeing to testify came one day before the Sanders-chaired panel was going to be holding a vote on potentially compelling the interim chief executive’s testimony, something the Vermont senator said committee members "in a bipartisan way" were "prepared to do." Sanders had previously unveiled plans to push for Schultz’s testimony via subpoena last week.
Howard Schultz, CEO of Starbucks, speaks during the company's annual shareholders meeting in Seattle, Washington March 19, 2014. (Reuters/David Ryder / Reuters Photos)
Sanders said Tuesday that he "look[s] forward to hearing from Mr. Schultz as to when he intends to end his illegal anti-union activities and begin signing fair first contracts with unions."
The interim Starbucks CEO had previously gotten an invitation to appear that he and the company declined, suggesting an alternative company executive.
"Through the agreement reached today, our testimony will seek to foster a better understanding of our partner-first culture and priorities, including our industry leading benefit offerings and our long-standing commitment to support the shared success of all partners," the coffeehouse company’s Tuesday statement said.
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The executive that Starbucks first suggested in mid-February should testify rather than Schultz was chief public affairs officer AJ Jones II. Jenkins and another executive were also offered last week, according to the coffeehouse company.
The "Siren" logo hangs outside a Starbucks Coffee shop, July 14, 2021, in Boston. (AP Photo/Charles Krupa / AP Newsroom)
"Given the timing of the transition, his relinquishment of any operating role in the company going forward and what we understand to be the subject of the hearing, we believe another senior leader with ongoing responsibilities is best suited to address these matters," Jenkins said in February, referencing Schultz leaving his interim role at the end of March.
During a press conference Tuesday, Sanders said he wants Schultz to "tell us that at long last he was going to stop his illegal activity, that he’s going to sit down with the union and negotiate a contract."
Sen. Bernie Sanders speaks during a news conference at the U.S. Capitol on Oct. 6, 2021. (Stefani Reynolds/Bloomberg via Getty Images / Getty Images)
Starbucks has been facing union efforts, with some 290 locations having conducted votes to do so, according to The Associated Press. The company has also seen allegations of union-busting tactics and not bargaining in good faith, claims the company has pushed back on.
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As of the beginning of the year, the coffeehouse company reported its global footprint included a total of over 36,100 stores worldwide, including over 10,200 company-operated and over 7,100 licensed ones in North America.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SBUX | STARBUCKS CORP. | 73.50 | +1.00 | +1.38% |