Jan 26, 2009

Starbucks planning more layoffs

The troubled Seattle coffee company slashed more than 2,000 jobs last year.

Another big round of layoffs is expected at Starbucks, possibly 1,000 people — a third of its headquarters employees — and some district managers and field employees.

"The cuts might be next week or in February," wrote Diane Daggatt, a managing director at McAdams Wright Ragen in Seattle.

No barista jobs are in jeopardy which will be a relief to dispirited workers who have begun to question changes at the store level since Howard Schultz reclaimed the CEO spot one year ago this month.

At first inspired by Schultz's return to the helm, they wonder now where Starbucks is headed. Many fear for their jobs as the coffee chain's sales continue to slide, forcing Starbucks to close 616 U.S. stores and trim employees' hours.

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