Court rules in favor of Starbucks managers who filed overtime lawsuit

A federal court is allowing two Starbucks managers to invite others to join their lawsuit that contends the coffee chain denied them overtime in violation of federal law. The managers say they're paid salaries that are higher than what most hourly wage clerks earn, but estimate that less than 10 percent of their time is spent on managerial tasks -- and that, they contend, doesn't make them exempt from overtime pay. (Associated Press)

Comments

Any idea what Starbucks Regional Marketing Managers or Regional Marketing Specialist earn per year?

Are these a good jobs?

[coffee dude]

Is it true that Starbucks managers are instructed in their manuals to "kiss the siren" each morning? I know it sounds a little religious, and it is, but that is weird!!

One of the problems that I am not seeing addressed here is a benchmark issue- what is the size of your store? What are the weekly, monthly, yearly sales? In the region that I worked, store managers can either work easily with the labor and the time they are given, or they can barely squeeze by. You can compare two stores within 10 miles of each other: completely different business, same number of baristas behind the counter. How is that fair? SMs who sniff at "lazy Store Managers" may possibly run lower volume stores. I have never understood why lower volume stores get the similar labor numbers to higher volume stores, or at least it sure as hell felt that way when I worked different stores. Some stores in this region are closed in the evenings and weekends, and some are open very late. DTs get more labor to work with, even if their business (and store size) is significantly smaller, and I have never gotten a satisfactory answer for why that is- just a long look down someone's nose. Some stores just get squeezed (f*cked, quite frankly) on labor, especially if sales are right under that magical million-dollar mark. How sad that some posters here not only refuse to recognize that fact, but attack others who have genuinely been screwed.

[sbuxmanager]

RE: bonues.
SM's bonus 15% of salary divided over 4 quarters. Example: if an SM makes 10K a year, 15% of that would be 1500. Their target bonus would be 375 a quarter. Snapshots on bonuses are counted seperately. DM's bonus the same way, only they get 20%. I don't know the exact figures about RDO's/RVP's but I know that once you reach the director level you bonus in stock options instead of payouts.

Stores are allocated labor on the number of customers that go through their stores and the style of their store (DT vs. cafe only) The labor matrix is very fair.

[MGR]

just an fyi, DMs don't bonus in exactly the same way.

They have a bonus that is based off of 3 things

Snapshots, CC and sales to budget.

How is that different???

[lovemyjob]

I have been with the company for 6 years and started off as a barista, I am now a store manager and have been for almost 2 years. I have to say from experience that it is the best company I have ever worked for. I have learned to manage my business as well as my partners I did work longer hours (by choice) in the beginning to get stronger and learn, but through that I learned what it would take to run a store and manage my time. I now work maximum 40 hour and have the freedome to have an extra day off once in awhile(well deserved) I have great sales and snapshots and I don't need to be there all day long, that is why I have an assistant and have developed 4 supervisers who help me managae a good work life balance.
I have a child and I spend more time with her then any other mother I know who works and tries to manage there lives.

I think the pay is fair and I have awesome benefits, my stock options and 4 weeks holiday a year make me proud to work for this company and keep me from going anywhere else.

my advise for any over worked managers is, do your job and develop people to help manage your store so you don't do it alone.

[RugbyBux]

Wow, this can be a tough crowd as I'm reading...but I've got a question for some sbux folks:

I was on "military leave" with Sbux for 4 years and do not want to go back as a SM (not with the leadership and management experience I've gained)--anyone have an idea of how to get a DM or RM position?

[Lindy]

Hello Starbucks Partners! I'm a senior at Towson University in Maryland and I'm working on a project for my HR class that is about Starbucks and compensation. Does anyone have facts/opinions about compensation at Starbucks that you would like to share? I already printed out the "Your Special Blend" packet from the website, but any other info would be greatly appreciated. Email me at Lindy79@gmail.com or post a response here.

[bchandran]

I too would like to know about the salary compensation for SM'S AND DM's, even if it's a ball park figure(s).

Thanks!

[linda]

I am sad to see such ignorance. This lawsuit is not about substitute teachers, or any other profession, this is about how Starbucks manipulates the system. Not every post is about "YOU". The law is clear on what mandates an exempt and non-exempt employee. If you have any questions you can contact the Texas Workforce or Department of Labor. Many of you need to educate yourselves before speaking up.

[Indy]

Hello All,

I own an independent coffee house and roasteria that does around 800,000/year in retail sales (we also wholesale and have an online business that is not included in the figure).

We're 3 years old. I have a store manager with 1 year of experience (she was never a retail manager before, but she had 1.5 years experience with my company before being hired as manager)who spends around 80% of her time off the floor, and I'm trying to figure out exactly how to judge her performance, how to establish sales goals, and how to pay bonuses.

If anyone is willing, will you share the categories that you are evaluated in as an SM for *$? How are $ goals set? How is labor budgeted? Anything that you can share would be just great.

Thanks.
sutono@gmail.com

[Jenifer]

I have worked at Starbucks for 5 and a half years...3 of which I have been a supervisor. I am sooooo sick of it! I am sick of getting crappy raises, people that are under me only make a couple bucks less than myself, and there is a "new rais" happening at the moment for all parters that have been here for 6 months, but I won't see a cent, because I already make more than the rais---by a whole $.20. Therefor, people in the same postion as myself, that have been there for a year, are getting basically the same as me! It's ridiculous. The only benefit of working here, is if you are 16.

[Jenifer]

I have worked at Starbucks for 5 and a half years...3 of which I have been a supervisor. I am sooooo sick of it! I am sick of getting crappy raises, people that are under me only make a couple bucks less than myself, and there is a "new rais" happening at the moment for all parters that have been here for 6 months, but I won't see a cent, because I already make more than the rais---by a whole $.20. Therefor, people in the same postion as myself, that have been there for a year, are getting basically the same as me! It's ridiculous. The only benefit of working here, is if you are 16.

[nick]

your understanding of the raises is flawed.

while you may be sick of it, and frustrated - at least know what aspects you are upset about...
it's not the raises. it's other things.

not to tell you how to vent, just pointing it out...

[J.]

What is the typical length of time it takes successful SM to hit a DM position? It seems it all depends on your level of financial success, ability to develop partners, and professional relationship with the current DM. Are DM's on the fast track to fill their positions? It seems the pool gets smaller and smaller as you move up- on the other hand, the expansion east of the Mississippi is blowin up....Any thoughts?????

[Luvjava]

I've been with Starbucks for almost ten years, and I've got something to say:

1). If you can't manage your store in 40-42 hours a week, shut up and get another job. This is the easiest freakin job on the planet for a foodservice worker. I'm sick of your whining. Go work in a warehouse and join a union.

2). Hourly food jobs were NEVER intended to provide full income for a family of four. We'd have to charge 6 bucks for coffee and 10 bucks for a cheeseburger. If you want to be a barista for 30 years, you have issues.

3). The lawsuit might have merit on a local level, but the general idea that any food manager should get overtime pay is stupid. I'll tell you why - because you'll see salaries go down so all the companies getting sued can afford to pay the overtime and meet their financials. Then they'll restrict you to 40 hours like CA and overall pay will suffer for the masses.

For the post above on SM to DM, it all depends. I've seen 1 yeaar, and I've seen 10 years. It's getting very political, one little mistake and you could be done. Having a solid relationship with the RD and RVP based on doing your current job really well is what to focus on.

[KGBoy]

I work for Publix Supermarkets as a CSM (CustomerServiceManager), I've been debating to apply for Starbucks management area mainly due to the hours that are "required" to work. 40...thats it right? But that I read further on many of you are saying 50-55 instead. Now thats what turned me off. I work an average of 50 hours... during season up to 60. During inventory weeks (quarterly),Ill put in atleast 65-70 hours...

The problem with retail/food managers is that you always have to deal with people now working,covering shifts,etc.. and that always boils down to more hours for you,why? Because your the boss, who else is gonna do it?

Now I make close to $60,000 a year. I have good room for advancement, next level is Asst Store, depending on where your at and pay scale you can make anywehre from 75 to 90,0000.. not bad?
and the hours are more set as the higher u go........

Just alittle word from me......

[ex shift]

In my region, SBX managers start at about $36,000. Before being put on a PDP to become an ASM (I was a Shift at the time), I enquired what my remunerations would be if I made it to SM.

I was advised the rate of pay was $36,000. That this salary translated to $15/hr based on an expected average 46hr MINIMUM work week.

No way! Not for me, especially in a geographical locale where the average 'starter' home is now over $300,000 and the average household income is $180,000 annually.

Then I considered what my earnings as an ASM would be and realized I made more as a shift - and that was before taxes! Just didn't make sense.

I have happily asked for a demotion to Barista. I work less hours and make more than any of the Shifts do - and am VERY HAPPY!

[BaristaKitty]

Starbucks does, overall, treat their management better than the other two "big" corporations I've held management positions in before.

The quality of people I find myself working with seems better overall as well. As far as pay goes, I am an SM making in the high $30's with the 15% bonus potential if I can hit sales budget. I did a 37% comp last week and still missed budget by 2%.

I knew when I accepted the position it was salary. While we would all like to get OT, I do not know of any restaurant or retail managers that punch a clock (besides our peers in CA).

I am an "external hire". I've been with Sbux about 1 1/2 years. In my interviews I was told that Sbux SM's worked about 40-45 hrs/wk and that life/work balance was very important to the companies values.

On a week to week basis I work 50 - 55 hours/wk, but only because I have high standards, love to take time to connect with my partners and customers, review and adjust my inventory/orders daily and can never leave if customers are standing in line.

I'm in a high volume drive-thru store with a 50/50 split with a very large cafe which creates it's own unique set of challenges.

I love Sbux, my partners and my job.

To do it right with a high level of commitment I do not see how anyone could do it all in 40-45 hours every week.

If all I had to do was management duties I could easily work a 40 hour week. I spend 24 - 32 hours as a shift supervisor basically. The traffic flow/ labor allowed does not give me the liberty of being able to "step off the floor" to do managerial tasks without taking advantage of my team (which I would never do). If I'm scheduled as coverage it's because I am needed as coverage. I've worked in two other stores where that was not so difficult to do. In my store it is not an option. We are busy from open to close.

The DT split creates a situation where you are, in essence, running two different operations simultaneously. When your DT customer count does not exceed your cafe by a significant degree ALS invariably does not give you the "extra" labor some DT stores see. I keep investing more, we keep earning more but it never seems to "catch up"... I guess with an average 30% weekly comp that can happen. My labor stays consistently in line and on budget.

I believe, from my experiences, that different stores have very different situations that affect a manager's hours. Any good manager will make sure his/her partners are being taken care of first and then put in the additional hours if need be to support the needs of their business.

Some of us are in that situation. From an hourly standpoint we are getting the "short end of the stick" so to speak.

Yes, I spend a lot of cell phone minutes with my DM and store when I am off. Once again, part of the position. It's a responsibility. I can see where it could really "burn out" a lot of people and take away from that work/life balance.

I'm a single mom and my child and family sometimes feel I am being taken advantage of in the way of my personal time. I have some days I feel like I am too, but it comes with the territory.

I suppose it would be nice if the base salary was higher or if the budget #'s were based off of a comp # rather than an inflated #.. I guess if I was comping 25% last year they expect me to comp at 40% this year?.

If my ASM's get OT (heaven forbid) they could potentially make more than me working fewer hours. That's a little hard to swallow.

I do feel some adjustments need to be made to compensate SM's for all of the above and beyond duties we incur hours from because so much time is spent being a barista.

Our company's success is largely in part due to the fact that the leaders (SM's) do work the floor, connect with customers/partners and role model bahaviors that continue when we are not there.

I do not believe a lawsuit or punching a clock will improve situations or be good for our overall success. I do believe the liquid monetary compensation could be more rewarding. Benefits, 401K, stock options & free coffee are terrific and I love Sbux for that.... I am curious to see what our upcoming increase is going to look like in January.

[Things are changing]

I worked for the company and made pretty good I did have to work ALOT!! Time management was not an issue my District Managers were, they didn't care what you had to do, if it was your day off and they wanted the labor for that day they would call you and have you go in just to call a few numbers...What happened to time worked = time paid ?????? The company went from partner, customer, business to Business, customer, and partner. And yes you may make good money, but when you make to much for the dedication and the love of your job, you are fired and someone less expensive put in your place.That's caring about your partners huh ???????

[sbux manager]

I am a sbux manager that can manage my time. I also believe sometimes you need to work more hours than expected. I can see how some managers could be trapped into working more than their share of hours because of overly demanding district managers. Each market is different. I have been told I have to work over 40 hours, but I have never been told how many.

Also, for those who think it is such an easy cushy job with great benefits, its not. It is a lot of responsibility and the company has excellent training. The benefits are good, but that is part of the package that makes the job more attractive. I work on the floor for 40 hours a week, I also have to manage and schedule partners, work with other stores, help develop other stores' partners and managers, ensure that customers are receiving legendary service, all while keeping my labor aligned. If you are good at this job, it is a lot of fun and rewarding...its not for everyone and no matter how much anyone thinks starbucks managers are paid, its never enough...just like any job. Starbucks has a nice atmosphere and good benefits. Its a company that cares about the partners....

Also, regarding the post about partners or managers being fired so someone that gets paid less is put in their place...I don't believe that anyone at starbucks would get fired for making a higher salary than someone else. That doesn't mean that there are people doing the exact same job but some people are paid more than others..thats two different things all together.

[Things are changing]

In response to the last e mail...I was a starbucks manager for 6 plus years and loved it, of course I had some issues, I'm human but in all this time I never received a corrective action, all the sudden within a 6 month period we have many people benched and ready but no where to go, and raises are coming in January to the management team, and amazingly enough the smallest things that were minor over the years are now huge and here we have had 4 long term managers fired in four weeks. And guess what the new lower paid managers are in there place. There is no way all four of these managers all the sudden just went to crap.All the sudden they are all fired during the holiday?????? Most companys do this around the end of the year, ask the unemployment office, it's called downsizing!! And to fire people during the holiday is just plain rude I don't care how you slice it...who wants to train people during x-mas.

you're obviously unsure of why you got fired, and you probably need some honest conversations with your DM & PR.

however, it's crazy to think that starbucks would realistically fired experienced managers for new ones.

it's been proven over and over again that the longer a person stays in a store, the better the profit is. as well, the more experienced a manager is the faster a new store will start seeing profit...

i'm not sure about your situation, so i'm not commenting on that - just your logic goes counter to starbucks seeing more money, which is what your reasoning is based on for firing experienced managers...
so, yeah.

[sbux manager]

To Things Are Changing:

Are you in a market that was opening new stores, but have now put the new stores on hold? I'm curious about the reason given for firing 4 managers.

Also, my DM told me that the raise in January isn't set in stone and not every manager will get a raise. I make more than any manager in my district, but I still think I deserve the raise just like anyone else.

[cutemgr]

Increase for Managers???? What region are you in? LOL Im in Eastern Canada and I know of an increase for Barista - Shift, but Salaried Partners?

I'm also curious about the 4 firing of Managers. Obviously they did something wrong. I have been with this comp for 5 1/2 yrs, Barista - SM and only know of one Manager fired for setting up a fake robbery on the way to the bank.

I love what I do and Love working with my Partners. They deserve a pay raise for the hard work and the odd - time BS they have to put up with.

Of course I wouldn't mind another pay increase! I am alowed 8hrs/week on Mondays for my Admin. I manage my time effectively..sometimes don't have the sched up for 2 weeks out, but otherwise get most things completed on Monday! I remember when Managers didn't have their Admin days and had to use use normal labour instead of non-cov. YIKES!

I do believe in time worked = paid time, a balance of work life and personal life, but when my Shifts call me to ask where any extra mocha may be it is kind off irratating!!

Anyways, Happy Holidays!

[Things are changing]

Hello,
Everyone seems to wonder about the 4 managers in four weeks, well here it is I talked with them and I find it pretty odd that the reason they all got was the same and the speeches they got were the same. Basically that they did not create the environment...where is a pretty broad statement. I personally know that you could speak to partners that worked for me 6 years ago and the partners that worked for me when I was let go and I had a happy crew. I did my job.I think that in every market there are rear end kissers and some of the DM's like that. In my time with the company I worked and met alot of GREAT people and how them continued success, I just want them to be aware. Still again how is it that 4 managers in 3 districts get the same speech??????I was in a market where several new stores are opening and for about 8 months so many people were benched to go into new stores and then they stopped, they needed to do something.... I opened a store a year ago and my DM told MANY people it was the best opening she ever had all she had to do was show up for friends and family, now how was it I went to crap in this short of time, somethings wrong with this picture no matter how you slice it.

[Motor]

Did all SM's and ASM's receive a pay increase this month and how much (%)?

[barista]

I am being encouraged by the assistant manager and shift leaders to become a shift leader myself. I know a shift leader has so much more responsibilities. Could someone please tell me a how much a shift leader makes?

I've been out for three weeks on a medical leave, but my district manager left me an voicemail that she would be calling me on monday to let me know what my new pay rate and my assistant managers new pay rate... I heard it was 4-6% based off past performance

That's Mid-America btw

[zoe]

I have an interview this week for a manager position at Starbucks. Anyone have any advice on how to prepare myself for this kind of interview? What kind of salary should I expect to be offered (I'm in Quebec, Canada).
Thanks!

[BaristaManager]

The people bashing managers are drinking haterade. They should point the finger at the CEO's and Board of Directors who make the millions while we make the company profitable with all of our uncompensated labor. Managers at Starbucks are not compensated that much better (if at all) than managers in other retail chains. Starbucks is really no different from them except it has better marketing and "hipness." That doesn't pay the bills.

The shifts and baristas should unite and criticize the big shots making the millions not the little shots who organize the bulk of the workforce but who are barely making that much more. This unity should include managers because if a manager is making 30k - 45k a year they have much more in common with someone making 20k-29k a year than someone making a MILLION plus or EVEN those DM's and RM's pulling in the fat six figures 100,000k and up.

Regards,

BaristaManager

[SB]

Hey everyone, I recently applied for a Starbucks Store Manager position in New York City. Can anyone tell me what a realistic/actual salary range is for Store Manager in Manhattan? Thanks in advance for any info!

[cassie]

wow... i wish my store manager did what everyone else's store manager does... my store manager is on non-coverage and admin almost everyday she is even at the store... bolts out of the store 2 minutes after she is supposed to be gone, never has enough people scheduled, doesn't work extra if someone calls out, never orders enough from the Seattle and paper orders... never, ever closes or opens... but always puts on a facade when the "big dogs" are supposed to be stopping by.... what a crappy manager, nice person... but, a crappy manager..

[BOSTON STARBUCKS REBEL]

Cassie,
Sorry to break it to you but the majority of Starbucks managers are just that crappy managers but at least yours is nice.

BOSTON STARBUCKS REBEL
PRIMUS INTER PARES
STARBUCKS REBEL ALLIANCE
AIM SN: BOSTONSTARREBEL

After my promotion I was unfortunate to be assigned to a store where I clashed with the store manager on an issue with a hostile and threatening employee whom the manager was fond of. This was the start of my undoing. I repeatedly requested that I be sent to training to learn how to deal with this type of employee, but was always denied. After frequent attempts to get the store manager to understand the severity of the issue that myself and many other partners were experiencing with this person, I was forced to go to the district manager to express my concerns. Unfortunately it came down to her word against mine and I was made to look like a “difficult” person.

[Anonymous]

I know of a manager that's rarely ever on the floor, she just sits on the phone all day and yells at all of the partners. Calling them stupid, dumb, irresponsible, etc. The other day I heard her say to the Ass. Manager that the shifts are "worthless and I should all fire all of them!" Sounds like this store is horrible, when it isn't, it's one of the best stored I know, with over 3 of the employees being there over over 5 years. We can't do anything though...everybody is scared of getting fired.

[Unknown]

What do u do when a manager has gone insane? When they make up "Starbuck's Standards" and when proven wrong scream and yell at everybody that they were doing it wrong and to do it the correct way or we'd get written up.

What do u do when a manager takes the tips and threatens to not give u ur paychecks?

[Prior Manager]

I have been a Starbucks manager and I worked way more than 50 hours a week. There was one day that was to be devoted to "office" type tasks. The rest of the time was to be spent on the floor. If your labor budget goes over you arer expected to work instead of another employee to bring your numbers down. I am totally in favor of these people trying to get a bit more compensation.

[Kokoro]

this is powerful idea about what one deserves.

i think the salary should reflect thge amount of work or OT should paid to all managers who work over 50 hours. i think 10 hrs over 40 is reasonable, but compensation has to come from somewhere. whether its comp days or bonuses - if not a larger salary.

we are so used to corporations treating us like slaves that we accept this behavior as standard, and normal. only in america do we work these long hours and for what? when they need to downsize there is no loyalty.

where is our humanity, if everything is about the almighty dollar?

people have families and lives outside of work, which makes for a better employee. if they are aloud time to enrich life with other things people are happier and then they are more productive and stay longer. it costs corporations alot of money to retrain people. this is known fact, many studies have validated this many times. google it.

you have to see the whole picture more clearly.