Starbucks to close some US and UK stores

Starbucks plans to cut around 900 U.S. jobs and close its worst-performing stores in North America, the UK, Switzerland, and Austria as part of a cost-saving and turnaround strategy.

CEO Brian Niccol said the closures aim to improve customer experience, reduce wait times, and revive sales, while the company still plans to open 80 new stores in the UK and 150 across EMEA.

The U.S. market has seen declining sales, falling for the sixth consecutive quarter at established stores, amid rising competition and a declining brand perception.

Starbucks’ restructuring includes store remodels, simplified menus, and staff reductions, but has drawn criticism from Workers United, which represents over 600 U.S. baristas and opposes the company’s lack of input from employees, the BBC has reported.

Analysts note that despite aggressive measures, Starbucks faces mounting pressure from rivals and ongoing unionization efforts.