Starbucks to Help Its Workers With Student Debt—Unless They’re in a Union
Progressives yet again criticized Starbucks as a union-buster on Monday after announcing new financial savings and student loan repayment tools—but only for U.S. workers who are not part of unionization.
“Union-busting is disgusting,” declared Lorena Gonzalez Fletcher, leader of the California Labor Federation, AFL-CIO.
Former Ohio state Sen. Nina Turner asserted that there is “no reason to not extend this to union members, too.”
The coffee giant said in a statement that with “My Starbucks Savings,” workers “will be able to contribute a portion of after-tax pay on a recurring basis directly from their paycheck to a personal savings account,” with the company contributing “$25 and $50 credits at key saving milestones up to a total of $250 per incentive eligible partner.”
“Starbucks will also launch a Student Loan Management Benefit through Tuition.io to help eligible partners manage and optimize student loan repayments,” the company continued. “Through this tool, eligible U.S. partners and their families will have access to new tools, resources, and individual coaching to manage student loan debt, such as repayment options and loan refinancing.”
“Tools within the platform will help partners view all their student loan debt in one place and locate the best individual action to take based on their personal repayment scenario and goals,” Starbucks added. “This could include taking advantage of income-based repayment options, refinancing, and planning how best to finance education for college-bound students and parents of students.”
Starbucks’ student debt benefit follows U.S. President Joe Biden last month announcing a long-awaited plan to forgive $10,000 to $20,000 for federal borrowers, along with other relief measures.
The company’s new benefits, which take effect next Monday, were teased in May, when Starbucks announced pay increases for its workers—officially called “partners”—who do not belong to unions.
The NLRB last month issued a complaint accusing Starbucks of violating U.S. labor law by withholding new benefits from unionized workers.
Labor organizers are planning to mark Investor Day with a rally and protest outside Starbucks’ Seattle headquarters Tuesday morning. One local union said members will be demonstrating to urge Starbucks “to stop union-busting and to give workers a seat at the table.”
Originally published at Commondreams.org.