Audio By Carbonatix
Starbucks will cut about 900 jobs and close its worst performing stores in the US as well as some in the UK as part of a cost-saving restructure, the coffee chain said.
Most of the stores earmarked for closure are in North America and its chief executive said the revamp would reduce wait times and help revive sales.
It comes after Starbucks announced in February that it was axing 1,100 jobs and simplifying its US menu to help flagging sales in its home market.
"This is a more significant action that we understand will impact partners and customers," chief executive Brian Niccol said in a statement, though the firm said it is still "on track" to open 80 new stores in the UK.
"While the EMEA [Europe, Middle East and Africa] business is on track to meet its commitment to open 80 new stores in the UK and 150 across EMEA this financial year, some stores in the UK, Switzerland and Austria will close as a result of this portfolio review", Mr Niccol added.
He said in a letter to employees that the stores marked for closure were "unable to create the physical environment our customers and partners expect, or where we don't see a path to financial performance".
Starbucks added that the job cuts would be in its support teams, rather than its front-of-house baristas.
Latest Stories
-
US summer driving season hits as gasoline supplies squeezed tight
27 minutes -
Everyone needs to feel loved playing for England – Bellingham
34 minutes -
South Korea come from behind to defeat Czech Republic
39 minutes -
Denied World Cup entry, Somali referee Artan to officiate UEFA Super Cup
45 minutes -
Trump says Iran war deal close as Strait of Hormuz tensions linger
55 minutes -
Bawumia credits UK-Ghana Business Council for driving key investments
1 hour -
UK High Commissioner commends Bawumia’s focus on policy-based politics
1 hour -
Bawumia highlights strong UK-Ghana partnership after meeting British High Commissioner
1 hour -
World Cup fever meets power anxiety: Ho residents plead for stable electricity
1 hour -
Nii Lante Vanderpuye ready to contest NDC chairmanship if Asiedu Nketia steps aside
1 hour -
Government to begin paying Free SHS suppliers’ arrears next week
1 hour -
CSOs urge Supreme Court to uphold legality of Special Prosecutor’s office
1 hour -
Mahama won’t shield Sedina Tamakloe from justice – Vanderpuye
2 hours -
GMet proposes Authority status under new legislative framework
2 hours -
Kpone Katamanso MCE condemns cattle invasion of school after viral video
2 hours