New York City has reached a $38.9 million settlement with Starbucks after investigators found the company committed violations of the city’s Fair Workweek Law. This is the largest worker-protection settlement in NYC history and will provide payments to more than 15,000 hourly employees from 300 Starbucks’ locations.
City officials found that Starbucks routinely failed to give workers predictable schedules, cut hours without proper justification, and made last-minute scheduling changes, all which is illegal under the Fair Workweek Law. Fast-food employers must provide stable weekly schedules, give at least 14 days’ advance notice, and cannot reduce hours by more than 15% without a legitimate business reason.
Under the settlement, most hourly Starbucks workers from July 2021 through July 2024 will receive $50 for each week worked, with some employees eligible for nearly $4,000.
This case is an important reminder that New York City takes workers’ rights seriously. Consistent scheduling isn’t optional. It’s a legal protection designed to help workers care for their families, arrange childcare, work additional jobs, and maintain stability.
If your employer has cut your hours, changed your schedule without proper notice, or violated your workplace rights in any way, we’re here to help. Contact Fitapelli & Schaffer for a free consultation. We are actively litigating and investigating claims against all fast food companies, including Taco Bell, Wendy’s, McDonalds, KFC and Raising Cane’s.