CHICAGO — In a significant move, Starbucks has announced the closure of hundreds of its stores across the United States, including several in Chicago. This decision comes as part of a broader restructuring plan aimed at revitalizing the coffee giant's brand. According to a report by CNN, Starbucks is set to close approximately 1 percent of its North American stores and lay off around 900 corporate employees.
While Starbucks has confirmed that some locations in Chicago will be closing, a spokesperson declined to provide specific details regarding which stores will be affected. However, it has been confirmed that the Starbucks at 1588 N. Milwaukee Ave. in Wicker Park will be shutting down. A notice placed on the store's door revealed that the beloved location, which was transformed into a Starbucks Reserve in 2017, is expected to close by the end of the week. “We’ve made the incredibly difficult decision to close this Starbucks location by the end of the week,” the notice stated. “We know many of you will be thinking of your favorite partner, and we’re working closely to support our partners through this transition.”
A barista at the Wicker Park location confirmed that the store’s last operational day is Saturday. Additional closures in Chicago include the Starbucks at 1599 N. Clybourn Ave. in Lincoln Park and the one at 1174 E. 55th St. in Hyde Park, both of which will also cease operations on Saturday. Customers can check the status of all Starbucks locations and their future hours on the company’s official website.
In a message to employees on Thursday, Starbucks CEO Brian Niccol explained that these closures are part of a strategic plan to rejuvenate the brand. He referred to this initiative as a “turnaround journey” following a comprehensive company review conducted this year. “During the review, we 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,” Niccol stated.
Niccol is spearheading a plan to enhance the atmosphere of more than 1,000 Starbucks stores over the next year, aiming to introduce greater texture, warmth, and layered design to the stores. In light of the closures, some baristas will be offered transfers to nearby locations, while others may face layoffs.
The announcement of store closures coincides with ongoing efforts by Starbucks baristas to unionize at hundreds of locations across the country, advocating for improved wages and job protections. The closure plan has drawn sharp criticism from the Starbucks union, which voiced their concerns through social media posts this week. A pre-planned rally of Starbucks workers took place on Thursday outside a store in Edgewater, with the location at 5964 N. Ridge Ave. also marked for closure.
In an email sent on Friday, Starbucks spokesperson Sam Jefferies clarified that the unionized status of employees does not influence the decision-making process regarding store closures. As Starbucks navigates these changes, the impact on employees and customers alike remains a focal point of concern.