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Starbucks to Pay Nearly $39 Million for Violating NYC Scheduling Laws

Posted by: Brian Schaffer

New York City reached a $38.9 million settlement with Starbucks after investigators found violations of the city’s Fair Workweek Law. The settlement is expected to provide payments to more than 15,000 hourly employees from approximately 300 Starbucks locations.

What Did New York City Find in the Starbucks Investigation?

City officials found that Starbucks failed to provide predictable schedules, cut hours without proper justification, and made last-minute scheduling changes. The Fair Workweek Law includes advance-notice and scheduling protections for covered fast-food workers.

Who May Receive Payments Under the Starbucks Settlement?

Under the settlement, most covered hourly Starbucks workers from July 2021 through July 2024 will receive payments based on the number of weeks worked, with some employees eligible for several thousand dollars.

What Scheduling Protections Does the Fair Workweek Law Provide?

The case underscores the importance of New York City’s scheduling protections for covered workers, including rules addressing schedule stability and certain changes to hours.

An inquiry doesn’t establish that a claim exists, guarantee that the firm can accept the matter, or create an attorney-client relationship. This page provides general information, not legal advice. Don’t send confidential or time-sensitive information through an online form. Prior results don’t guarantee a similar outcome.

FREQUENTLY ASKED QUESTIONS


What does NYC’s Fair Workweek Law require fast-food employers to do?

New York City employers generally must provide regular schedules, give work schedules 14 days in advance, pay required premiums for certain schedule changes, and offer available shifts to current workers before hiring new employees. The law also addresses clopening shifts and limits certain firings or substantial reductions in hours without just cause or a legitimate business reason. The exact protection depends on the scheduling event involved.

Can a fast-food worker be owed extra pay when a schedule changes at the last minute?

Potentially. NYC’s Fair Workweek Law can require premium pay when a covered fast-food employer changes a worker’s schedule after the advance-notice period. Whether premium pay is due, and the amount, depends on factors such as when the change occurred and whether hours were added, reduced, canceled, or moved. Workers who experience frequent last-minute changes can preserve posted schedules, screenshots, texts, time records, and pay stubs so the changes can be compared with the compensation received.

What is a clopening shift under NYC’s Fair Workweek Law?

For covered fast-food workers, a clopening generally involves working a closing shift and then an opening shift with less than 11 hours between them. NYC rules generally require the worker’s written consent and a $100 premium for a qualifying clopening.

How can Starbucks workers tell whether a Fair Workweek settlement may affect them?

Eligibility depends on the terms of the Starbucks settlement and the worker’s employment history, rather than simply having worked for Starbucks at some point. Relevant details can include the NYC location, dates of employment, scheduling practices, and the period covered by the agreement. Workers should retain employment records and review official settlement or DCWP communications. The city has also directed workers with questions about restitution or reinstatement rights to contact the Department of Consumer and Worker Protection.

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