Starbucks delivers tough update on regional offices, cuts 100s of jobs

Starbucks is trying to bring customers back to its coffeehouses, but the company’s turnaround is coming at the cost of yet another painful message for its workers.

Away from the coffee houses, this time the Seattle-based coffee giant is going for corporate jobs and closing several regional support offices as it continues on the path to reshape the company under CEO Brian Niccol’s “Back to Starbucks” strategy.

A Starbucks spokesperson confirmed to TheStreet that the company is eliminating approximately 300 US support roles as part of its Back to Starbucks strategy.

The cuts do not affect coffeehouse employees, but they add to a growing list of workforce reductions and store changes that have followed Starbucks’ attempt to simplify the company and rebuild customer trust.

In a recent SEC filing, Starbucks outlined its broader restructuring plan, noting that its board approved additional actions on May 13 under the Back to Starbucks strategy, which focuses on revitalizing coffeehouses and improving the customer experience.

Starbucks cuts follow earlier layoffs

The latest reductions are not the first major job cuts under Starbucks’ turnaround plan.

In February 2025, Starbucks said it would eliminate 1,100 support partner roles (employees) and several hundred additional open and unfilled positions.

In the memo shared with employees, CEO Niccol said of the decision, “We are simplifying our structure, removing layers and duplication and creating smaller, more nimble teams.”

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Later in September 2025, Niccol said that the company has identified coffeehouses where “we’re unable to create the physical environment our customers and partners expect, or where we don’t see a path to financial performance, and these locations will be closed.”

And this would mean further reducing headcount and expenses by cutting 900 non-retail partner roles. In the memo, Niccol added that the company will invest in “green apron partner hours, more partners in stores, exceptional customer service, elevated coffeehouse designs, and innovation  to create the future.”

Now, in May 2026, the company is further reducing 300 corporate positions “to capture cost savings by further streamlining its domestic and international support organization and non-retail facilities,” said the SEC filing.

Starbucks takes on $400 million charge

The financial scale of the restructuring is clearer in the SEC filing.

Starbucks said it is pursuing $2 billion in cost-savings initiatives and that its international business shifts toward a model in which nearly 90% of its coffeehouses are licensed.