The union representing workers at select Starbucks (SBUX) locations is planning a one-day strike in 25 U.S. cities on Nov. 13.
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The strike is being organized to take place alongside Starbucks’ annual holiday-themed “Red Cup Day” event. The union, Starbucks Workers United, says it is deliberately targeting one of Starbucks’ busiest promotional events.
The strike is being called to bring attention to Starbucks’ refusal to negotiate contracts with the union and the workers it represents, a situation that has been ongoing at the retail coffee chain since the COVID-19 pandemic struck in 2020.
Little Progress
To date, Starbucks Workers United has made little progress in its push to unionize the company’s baristas and other staff, and to negotiate a contract on behalf of workers. Currently, the union represents employees at about 550 of Starbucks’ more than 10,000 company-owned U.S. locations.
Still, the union says it is undeterred and that it plans to call for more work stoppages in an effort to bring Starbucks management to the bargaining table. Starbucks Workers United warned that strike actions could expand if progress isn’t made.
Is SBUX Stock a Buy?
The stock of Starbucks has a consensus Moderate Buy rating among 21 Wall Street analysts. That rating is based on 13 Buy, seven Hold, and one Sell recommendations issued in the last three months. The average SBUX price target of $98.17 implies 20.17% upside from current levels.
