(New York) The historic boss of Starbucks Howard Schultz will temporarily return to command of the ever-expanding coffee chain, but which is also facing rising costs and the discontent of its American employees.
Posted at 12:20 p.m.
The company’s current chief executive, Kevin Johnson, will step down on April 4 after five years in the role, officially to retire, and the group plans to appoint a new leader by this fall, a statement details. .
In the meantime, Mr. Schultz, 68, will take over the day-to-day management of the group and its more than 34,000 cafes around the world.
“I had no plans to return to Starbucks, but I know the business must transform once again to face a new and exciting future where all of our stakeholders thrive on each other,” he said. he commented, quoted in the statement.
This is not the first time that this leader, known for his social fiber and tried in 2020 to run for the American presidential election, has been called for help.
After initiating the expansion of Starbucks in the 1980s and 1990s, he left his position as general manager in 2000, only to return eight years later.
He then handed over his role as chief executive to Mr Johnson in 2017 and stepped down as chairman of the board in 2018.
In 1987, Starbucks had 11 cafes in the United States and in 2018, more than 28,000 cafes in 77 countries.
social fiber
Mr. Schultz, at the head of a fortune of 4.2 billion dollars according to Forbes magazine, has chosen not to be paid during his interim and will receive 1 symbolic dollar.
The leader of humble origins, who had considered running as an independent candidate against Donald Trump in 2020, was one of the first to grant health coverage and stock options to all his employees, even those working part-time.
He has also taken a stand on social issues such as racial inequality and same-sex marriage.
He takes over the head of the company, created in 1971, at a time when more and more employees are seeking to unionize.
Last summer in Buffalo, in the north of the United States, employees sought to make their demands heard more clearly. The management mobilized great means to try to dissuade them, in particular sending a large number of executives to the area and increasing the number of legal remedies.
The employees of two cafes nevertheless voted for the creation of a union, a first in establishments directly managed by the chain in the United States. They have been emulated and employees of more than 130 cafes have since asked for the organization of a ballot.
The turnover of the company famous for its takeaway coffees has also never been so high, reaching 29 billion dollars in the financial year ending at the end of October.
However, the group must reckon with inflation, additional expenses linked to the coronavirus and a tight labor market. The à la carte prices have been increased several times in recent months.
Kevin Johnson, 61, said in the statement that he told the board about a year ago that he intended to retire when the pandemic ended.
“I think it’s a natural way to end my 13 years with the company”, assures the one who had joined the company in 2009 to sit on the board of directors before becoming chief operating officer in 2015 and then director. general in 2017.
On Wall Street, Starbucks took almost 8% at mid-session.
The return of Mr. Schultz is a “positive” element for the action, under pressure since the beginning of the year, according to analysts at the investment bank Cowen.
The group has several solid leaders who can regain control, but “the public impact of the unionization movement” is undoubtedly pushing Starbucks to seek a new boss externally, they say.