Ending Soon! Save 33% on All Access

Starbucks in Hot Water With U.S. Labor Board The National Labor Relations Board has sued the coffee giant over alleged retaliation efforts against three employees involved in organizing a union.

By Madeline Garfinkle Edited by Amanda Breen

Opinions expressed by Entrepreneur contributors are their own.

The National Labor Relations Board is suing Starbucks after the coffee chain allegedly took direct and unjust action against three employees involved in unionization efforts. In a press release last Friday, NLRB demanded "injunctive relief for victims of unfair labor practices."

The lawsuit claims Starbucks promptly retaliated against the employees – or as Starbucks calls them, "partners" – by disciplining, suspending and discharging one, "constructively" firing another and putting a third on unpaid leave of absence.

NLRB has asked the court to require Starbucks to restore the employees' jobs, schedules and accommodations as usual, but the lawsuit has instigated a game of pointing fingers. Starbucks claims the allegations are not only untrue, but that the individuals in question are also the ones who violated company policies and in some cases broke state law, which they did not elaborate on – thus resulting in their termination.

"A partner's interest in union representation does not exempt them from the standards we've put in place to protect partners, customers, and the communities that we serve," a Starbucks spokesperson shared with Yahoo Finance.

Starbucks also filed two complaints with NLRB early last week, claiming that Workers United affiliates violated federal labor laws by "intimidating" members of its staff in Denver and Phoenix.

Related: Starbucks Workers in Buffalo Vote to Create First-Ever Union

Still, Workers United and NLRB remain confident and firm in their efforts, and it could just mark the beginning of an arduous battle with the coffee giant. "We fully expect that this is the first of many future petitions the NLRB will pursue against Starbucks," Workers United said in a statement to CNN Business, "until the company is held accountable for its violations of our right to organize."

Since an increasing number of unionization efforts have emerged across the country, more than 100 charges of Unfair Labor Practices have been filed against the company.

Related: Viral Video Exposes Difference In Starbucks Workers' Salaries

Madeline Garfinkle

News Writer

Madeline Garfinkle is a News Writer at Entrepreneur.com. She is a graduate from Syracuse University, and received an MFA from Columbia University. 

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business News

'Creators Left So Much Money on the Table': Kickstarter's CEO Reveals the Story Behind the Company's Biggest Changes in 15 Years

In an interview with Entrepreneur, Kickstarter CEO Everette Taylor explains the decision-making behind the changes, how he approaches leading Kickstarter, and his advice for future CEOs.

Career

Is Consumer Services a Good Career Path for 2024? Here's the Verdict

Consumer services is a broad field with a variety of benefits and drawbacks. Here's what you should consider before choosing it as a career path.

Business Ideas

87 Service Business Ideas to Start Today

Get started in this growing industry, with options that range from IT consulting to childcare.

Business Models

How to Become an AI-Centric Business (and Why It's Crucial for Long-Term Success)

Learn the essential steps to integrate AI at the core of your operations and stay competitive in an ever-evolving landscape.