Starbucks Cuts 300 Jobs, Expects $400M Restructuring Charge

Starbucks says the moves support its Back to Starbucks strategy, which aims to sharpen focus, reduce complexity, and lower costs while building on recent sales momentum. The company also notes a broader pullback across corporate America, where retailers, tech firms, and consumer brands have trimmed white‑collar staff and consolidated office space. In February 2025 Starbucks cut 1,100 corporate support roles worldwide and eliminated several hundred open positions. A second wave in September removed another 900 jobs and closed over 400 cafés. These moves set the stage for the latest 300‑role reduction.

A Starbucks spokesperson said the firm is taking further action under the Back to Starbucks strategy to build on business momentum and return to durable, profitable growth. Starbucks expects to record roughly $400 million in restructuring charges, composed of about $120 million for severance and $280 million for accounting related to leased office space. It is cutting about 300 U.S. support roles and reviewing its international support organization, a step that could lead to additional layoffs abroad. The $280 million lease charge stems from reevaluating office commitments and consolidating regional space, according to the company’s SEC filing. Leaders said the reviews aim to sharpen focus, prioritize work, and lower costs across the organization.

The severance and lease‑related charges reflect cost‑saving steps as Starbucks trims overhead while trying to sustain the 6.2% global comparable‑store sales gain reported in April. Investors will watch whether the reduced headcount translates into improved margins without hurting store‑level service or international expansion plans. Next, analysts will monitor the company’s quarterly earnings for any impact from the restructuring and any announcements about further international staffing changes. Some analysts warn that deep cuts could affect innovation and employee morale if not managed carefully. The company will need to balance cost savings with maintaining the momentum that drove its April sales increase. Watch for Starbucks’ next earnings report to see if the restructuring yields the expected cost savings and whether international staffing adjustments follow.