Great people, horrible org design, mediocre pay and benefits, clueless senior leadership - Anonymous employee Starbucks Employee Review

2.0
5 Oct 2012
Anonymous employee
Recommend
CEO approval
Business outlook

Pros

There are incredible people within the walls of the SSC (Starbucks Support Center aka headquarters) - I genuinely feel like I have the opportunity to work with high caliber individuals. I cannot speak highly enough of the talent that exists within the building...

Cons

...but, how that talent is utilized (or not) is criminal. Make no mistake, Starbucks intentionally hires people who are overqualified, and you will be disappointed by the scope of any role that you take within the SSC. In 2008, most entry-level positions were axed, yet the work still needed to be done. The result is an organization in which individuals are expected to have half a leg in the job below them rather than being stretched into the role above them. There is an incredible amount of compression at the experienced individual contributor and first level manager levels, meaning that it can be difficult to move vertically within the organization. Another byproduct of the lack of entry level roles is that the organization is that, due to a lack of any talent development organization, many roles are hired externally. And due to the competitive job market in Seattle, it is expensive to get external talent, which means that external hires are often paid more than their managers (in recent years). The pay and benefits are terrible, which is partially a reflection of having too little leverage within the organization (ie too many senior people doing junior level work), and partially the result of being a publicly-traded company that emphasizes EPS growth over sharing some of the wealth with the employees. Additionally, benefits for those that work at the SSC mostly mirror those given to baristas, which is nice from a PR standpoint, but ridiculous when you consider the drastic differential in education and experience. I have never received such terrible benefits or little vacation time as I did when I arrived at Starbucks. Furthermore, there is no benefit to being a high performer at Starbucks. The difference in pay between your best performer and your average performer is, at most, 2% per year, given that equity and bonus are not indexed to individual performance. Senior leadership is largely disconnected from the general populace, both physically and mentally. Senior leaders tend to shy away from explaining the rationale for most decisions, and expect employees to follow suit. Senior leaders also fail to empower the organization; I've heard repeatedly from individuals at the director and VP level that they 'can't make decisions', and if you want to learn how to run a business , 'starbucks isnt for you'. The myth of Howard Schultz is alive and well within the company, although most insiders know the truth. Howard never went away when Jim Donald was CEO - Howard was just as involved as he is today. Yet, Howard trumpets the myth of his triumphant return constantly, as though he was the savior of Starbucks. His lack of hubris is impressive, and his treatment of other employees is outright sad. I have seen him yell at countless employees, bringing them to tears and undermining their authority (unjustly) at the drop of a hat. While Howard is an incredible businessman, he is a dictator at heart, and one that poisons the culture of what could be a fantastic organization.

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Pros

fun environment and room to grow

Cons

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4.0
22 Jul 2014
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CEO approval
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Pros

The benefits are out of sight. I was offered Starbucks stock after my first year, as well as 401k through Fidelity, and a superb Blue Cross Blue Shield health insurance plan. You can cover your whole family with that plan, and it can include domestic partners. I got a pound of free coffee every week and free coffee all day (although I think that was specific to my store, which bent the rules). There's also an Employee Assistance Hotline which you can call if you're having issues in your personal life. And HR is really responsive--they won't see you as a troublemaker if you're legitimately having an issue. They will handle it. Also, sexual orientation and gender identity are included in their anti-discrimination policy. None of the gay or lesbian people on my staff got crap for it, even though about half the staff was quietly conservative Christian and Republican. If you're a people person, you develop relationships with the regulars and it's fun to make their day. I felt it was pretty rewarding to make drinks. I loved the artistic side of it. And again, the free coffee...just awesome. They're also usually pretty flexible about scheduling, so it's ideal for if you're working two jobs or are a student. I worked with people in their 50's who had their own careers, but worked part-time at Starbucks for the health insurance. The vacation time system is also pretty sweet. I worked with a guy who was there for 10 years and took like a month vacation to his home country. The staffs can be really tight...or they can be really vicious. But a spirit of teamwork is definitely encouraged. And exemplary work is recognized. In an 8-hour shift you get three breaks: one 30-minute clock-out lunch, and two 10-minute on the clock breaks. You'll also occasionally get those amazing customers and you live for seeing them. We had four customers who every year each put 100 bucks in our tip jar around Christmas. Sometimes those people can make your day with the things they say and do.

Cons

If you work at a store worth their salt they will work you to the bone. Especially in a large or high-volume store there is so much to do, so much to clean. A morning shift person will have the absolutely insanity of a morning rush, but an evening person should be expected to handle evening rushes with a limited staff as WELL as get the place spotless in what I believe is not a reasonable time. We could get the place clean by 10:45, all right--if we broke the health and corporate rules about when to tear things down. And of course if that was ever found out we were in deep. And if we went over 10:45 we were also in trouble. Management sometimes has some very unrealistic ideas about what the job actually entails and what rules and boundaries should go with that. The pay in my state starts near minimum wage. The ceiling for a barista is $10/hr, which you hit when you've been there about five years. But tips help, and some high-volume affluent stores will have tips up to $4/hr. There's also a tendency to have fanatical management. Other "kindly" corporations like Whole Foods have this too--the managers drink the Kool-Aid and worship the company. I once spoke with my manager because my schedule was being changed with less than 24 hours notice, and that was against state law. She got this crazed look in her eye and spat "Starbucks law goes above state law!" But that's only a tendency. There are some pretty cool managers out there. Mine was insane. The customers are spoiled rotten so they also get kind of unreasonable about their Starbucks. They will stand there and demand that you make a drink five times because there's still foam on that latte and they said NO foam, not LIGHT foam. This is a business model of Starbucks': everyone is special, and we will bend the rules for everybody. And I've had people scream at me and call me a (b) and promise me that they would make me lose my job. I've also had stuff thrown at me. But, that's also just customer service. These last few years Starbucks has been obsessed with selling, too. There's a lot of pressure on the staff to make sure people go home with $15 bags of coffee and sub-par espresso machines. It's hard to maintain the relationships they want us to maintain while trying to sell stuff. Overall, if you can put up with the customers and the physical demand, and if benefits are more important than income, do it. It's rewarding in its own way. Wear insoles.

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Starbucks Response
5y
Thank you for taking the time to provide feedback. Starbucks’ culture and success are driven by our partners and their achievements. We are also committed to upholding a culture where inclusion, diversity, equity, and accessibility are valued and respected. Partners truly are the core of our company, and we strive to ask for input, consider feedback and communicate transparently around company-wide decisions. It is our intent to ensure that everyone feels supported and cared for, and we will share this with our teams to ensure we continue to improve in this area.
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