New Delhi, January 18: Starbucks is reportedly planning to implement corporate layoffs as part of its turnaround strategy. The American coffeehouse chain is likely to streamline operations and improve efficiency through these job cuts. Employees are expected to receive more details about the layoffs by early March.

As per a report of Associated Press, Starbucks is planning corporate layoffs as part of a restructuring effort. Chairman and CEO Brian Niccol, who joined the company in September, has stated that the current organisational structure has become too complex. Starbucks announced on Friday that it intends to implement an unspecified number of layoffs as part of restructuring of its corporate employees. Amazon Layoffs: E-Commerce Giant Lays Off Around 200 Employees in Fashion and Fitness Group in US Amid Restructuring Measures.

In a letter to employees, Starbucks Chairman and CEO Brian Niccol reportedly stated that the company needs to ensure that every task has a clear and accountable owner who is empowered to make decisions. Additionally, the company aims to simplify operations and break down complexity within the organisation.

CEO Brian Niccol mentioned that the company's size and structure can hinder its efficiency, citing too many layers of management for small teams and roles that mainly focus on coordinating work. He also stated that details regarding the job cuts will be shared by early March and noted that the layoffs will not affect baristas in Starbucks stores. ShareChat Layoffs: Indian Social Media Firm To Lay Off 5% Employees From Its Workforce as Part of Annual Performance Review.

According to its annual report filed in September, Starbucks has around 16,000 corporate employees globally, with approximately 10,000 based in the US and 6,000 in other countries. Overall, the company employs a total of 3,61,000 employees worldwide. As per multiple reports, Niccol has introduced a series of measures to enhance the coffee chain's business, which has faced challenges due to competition and declining demand in the US and China. Starbucks layoffs are said to streamline its support teams as part of the company's efforts to improve its business.

(The above story first appeared on LatestLY on Jan 18, 2025 04:37 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).