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For years, dissing Starbucks has been a popular pastime among the coffee cognoscenti, but is Starbucks really the Evil Empire? Before you jump to conclusions, there are some things you should probably know.
One of the biggest criticisms of Starbucks is that the coffee giant doesn’t do enough to support the Fair Trade movement, or that the percentage of Fair Trade coffee the chain sells is minuscule. That may have been a legitimate complaint in 2000, but a grassroots effort pressured Starbucks to carry Fair Trade coffee in 100% of their stores. Today, more than 7,500 Starbucks stores carry some Fair Trade coffee. Starbucks has long followed its own CAFÉ Practices to ethically source and import coffee, and has steadily increased the amount of Fair Trade and otherwise ethically sourced coffee it purchases.
While Starbucks only purchases about 8.1% of its coffee from Fair Trade certified sources, that amounted to 44.4 million pounds of coffee, making Starbucks the largest single purchaser of Fair Trade coffee in the world. Those numbers, however, only tell part of the story. For the past decade, Starbucks has worked directly in partnerships with coffee growers around the world to whom it offers a higher price than the Fair Trade floor price and has worked to promote sustainable growing practices and organic farming among the growers it buys from. The company also buys coffees that are certified by other third party certifiers. In all, Starbucks sourced about 93% of its coffee through ethical sources and paid an average price of $2.56 per pound. By contrast, the floor price for Fair Trade coffee in 2012 was $1.60 (which includes a 20 cent premium that goes to the coffee cooperative rather than to the individual farmer). In addition, more than 95% of coffee contracts included a financial transparency clause. Starbucks goal is 100% ethically sourced coffee by 2015.
A second major criticism of Starbucks has been that it exploits employees and won’t allow them to unionize. As with the Fair Trade debate, the reality is far more complex. Starbucks has long offered full-time benefits – and quite generous ones, at that – even to part-time employees. Those benefits include health insurance and stock in the company. However, many baristas point out that the realities of working in a coffee shop – including a dependence on tips and insecure work hours – mean that it can be difficult to make ends meet working for Starbucks. In addition, unions do more than negotiate for better wages – they also represent workers in disputes with management, including unfair firings, and negotiate fair policies for scheduling and discipline.
What it comes down to, in the end, is that Starbucks works to treat its workers well – and has quite a reputation for doing so – but workers have no real representation to negotiate with management over the long term. While Starbucks under the current corporate leadership may treat its workers well, a leadership change could leave workers with no protection. That’s not being evil – just short-sighted.
Far from being the evil corporation driving other coffee shops and cafés out of business, Starbucks corporate policy includes nearly a dozen initiatives to support all of their various communities. Those initiatives include Create Jobs for USA, an initiative that provides capital grants to help support businesses in underserved communities. The grants may get small business loans, microfinance, community center financing or housing project financing. The Create Jobs program is not very different in scope and intent than many of the programs Starbucks operates in the communities where they source their coffee.
In addition, the company launched a Community Store program in 2012, where stores partner with the community in which they are located to invest in the community and provide benefits that the community actually needs. These are just a few of the initiatives and policies that are part of the Starbucks culture. That culture extends to every employee, with incentives for employees to become engaged in community service and bring their own ideas to the company’s attention.
From building greener stores to reducing waste and encouraging recycling, Starbucks takes the environment seriously. The company is on track to make 100% of their cups either reusable or recyclable by 2015, diverting tons of paper waste from landfills. In coffee-growing countries, Starbucks works with farmers to help them mitigate issues arising from the impact of climate change and encourages the use of sustainable farming practices, including shade coffee plantations and organic growing. From small efforts, such as making coffee grounds available to local gardeners to use in compost, to major initiatives, such as contributing to the development of renewable energy and reducing greenhouse gas emissions, Starbucks is a leader in environmental responsibility.
Obviously, no one will be referring to Saint Starbucks anytime soon. The company is in business to make money, after all, and has a responsibility to its corporate shareholders to make as much money as possible. Under the guidance of CEO Howard Schultz, Starbucks is, in many ways, a model for good corporate citizenship, and not the Evil Empire as it is often portrayed.
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Old article below
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We’ve all heard the anti-corporation brigade yelling about Starbucks and how it’s turning the world into a giant corporate generic mess, exploiting farm workers in the third world, driving small cafes out of business, and burning their beans to make them look darker. But Starbucks says they’re a model corporate citizen, donating large amounts of money to the third world, rejuvenating neighborhoods and employing thousands as they pay above market rates.
So who is right? Is Starbucks really evil? You decide.
The negatives:
* The Organic Consumers Association says Starbucks is lagging on using Fair Trade coffee, where the grower of the coffee bean itself is paid a living wage, no matter what the going rate of coffee is. “Despite repeated pledges, Starbucks is still buying coffee and chocolate produced under exploitative labor conditions, and in the case of cocoa plantations in Africa, workers who are actually slaves.” According to Global Exchange, Starbucks buys over 100 million pounds of coffee each year, yet less than 1% is purchased from coffee farmers who are guaranteed a living wage. Source: Scotland on Sunday, May 4, 2003
* Starbucks employees aren’t always happy with their bosses, and that’s why they formed the Starbucks Baristas Union. The union, along with fair trade outfit, Global Exchange, want Starbucks to increase the amount of fair trade coffee they purchase from 1% to 5%. Says the union leaders, “We see our struggles for humane wages and working conditions as united [with the coffee growers [-] No longer will Starbucks be allowed to run roughshod over its baristas or coffee farmers.” Source: Inter Press Service, July 7, 2004
* Starbucks was called to task by environmentalists “for failing to adhere to its Environmental Mission Statement by slipping from industry leader to laggard on Fair Trade, and for adopting a patchwork approach to sustainability through its “Commitment to Origins” line of coffees.” Source: The Green Life
* Though Starbucks makes claims of improving workers conditions in the third world, the company will not allow human rights monitors to verify their claims. Critics say that there is little evidence that any improvement programs have been implemented. Source: Biodemocracy News, March 2001
* Starbucks refuses to guarantee that milk, beverages, chocolate, ice cream, and baked goods sold in the company’s stores are free of genetically-modified ingredients, including recombinant Bovine Growth Hormone (rBGH), a Monsanto-produced cow steroid. The substance is banned in every industrialized nation besides the U.S., because it is known to cause health problems in dairy cows, and is “associated with a higher risk of cancer in humans.” Source: Biodemocracy News
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Alaskagram says
Evil? They got started small like everyone else and did something right to get here.I remember in the 70’s going to Starbucks at Pier 70(I think,the 70’s were a blur)for hot chocolate when they had only one roaster in the ‘back’.It was the only location.Perhaps its because they spread out of Seattle and not some more traditional spot like L.A. or New York,perhaps this inspires the east coast paranoia.
Red Roaster says
As many small batch roasters/coffee shops that are out there now, every one on this page should be able to find a good coffee with out having to bow to the image of SB. There are other ways of getting coffee from the farmer that is more fair than FT. ‘More than Fair’ and Direct Trade are just a few. And with this great thing called the internet n UPS – you can get ‘fresh roasted’ coffee at your door with in days of being roasted. If your coffee has been around longer than 5 days, you have no idea what I am talking about. Is SB evil? No I don’t think they are evil, but they won’t always make the ‘right solution’ (#44) because they are only about ‘winning customers’. (#44)
#44 I’m not pickin :-)
Max says
Drip coffee at Starbucks is actually less expensive than many competitors. If you go to another place for a latte or cap, you can make it just as expensive or more with all the add ons you need to get it to be the item Starbucks has on its menu many times for less. Some places sell what they call a “latte” for 99 cents but no one working there has any idea as to what is or where their product is sourced. The experience is part of the price as well. I have had very bad experiences in many different places, yes even Starbucks. I speak to management to see if it was a one off or the feel of the organization then I decide if I will go back. The real Starbucks cares and will make it right if the solution is w/in their power, if they won’t, stay away. It’s about the service and winning customers.
LindaK says
If coffee farmers are dirt poor, how can they come up with $30,000 for certification? If that kind of dough is the requirement for being Fair Trade, then they must not be that badly off, imho. (My son has had me buying Fair Trade coffee for him). As far as Starbucks being evil, I just would feel guilty blowing that much money for a cup of coffee. I would feel like an over-priveleged dilletante. But it’s Starbucks’ American prerogative to charge whatever the market will bear, and no one’s got a gun to their head to make them go there.
Maddie says
I am amazed that u lot even could question an amazing place like starbucks!
WE LOVE STARBUCKS, IT RULES AND WHO CARES WHAT THIS BIASED ARTICLE THINKS!
their wrong and i am sure if u ask starbucks they will tell u the same!!!!!!
MillyJ says
Why the concentration just on Starbucks? What about Maxwell House, Tassimo, etc – where are they in the Fair Trade stakes? Where is a list of those companies who are to be commended for Fair Trading? It’s no good just bashing one company, more important to celebrate the good (thank you barista for filling us in) they do and positively encourage them to do more in other areas.
Blue says
You tell us to decide, but then only post the negatives. Are you really trying to appear unbiased?
Thanks Max (#39) and others for presenting the rest of the story.
Max says
As far as the FairTrade argument goes-in fiscal year 2008 SB bought 20 Million Lbs of FT coffee. Has any other US retailer come close to that number? In FY 2009 they have committed to purchasing 40 million lbs of FT. FT’s president was at the SB leadership confrence in Oct. and was very gracious and thankful for SBs participation in FT. Has he sold out now? SB is not the end all be all of coffee but it isn’t the anti-coffee either. How many people in the US would ever have heard of espresso, capucino, or latte w/o Starbucks? Other roasters may roast coffee differently but who comes close to the scale and the impact SB does? I have spoken to coffee workers in origin countries (Costa Rica, Guatemala) who are very grateful for SBs involvement in their community. No corp. is perfect but just because it doesn’t suit your taste or you had a bad experience or series of experiences doesn’t make it evil. Much of the stats quoted above are dated and should be researched for today. Maybe smaller is better but big is not evil in and of itself.
Funk Master Maiden says
Look I been a fan of Iron Maiden since I was a kid, who does Metallica think they are calling them selves the pioneers of heavy metal. I look up to Judas Priest before Metallica. So if Lars wants to drink his Starbucks let him, he sold out to the fan i am sure he will do the same for Coffee.
Bobby says
Just like Keith Olbermann would say – œ You sir, are insane. Martin the insane starbucks hater today’s worse person in the woooorld!
Love this site like my morning espresso:)
Merry Christmas Everyone and a very Happy New Year!
Kim says
what makes you think you’re not the one insane? I love my SB coffee and that’s it!
martin says
You people are insane-SB makes crappy coffee.
Go out and get a real coffee that hasn’t been bastardised by all the rubbish SB put in it.
Ever tried to get a real espresso at SB?
sara says
you people rule i love is starbuks evil
jk_runk says
TalkAboutCoffee needs to finish their homework and include a ‘positive’ section.
The Best Cup Of Coffee says
I think also that it ought to be noted that *$’s is the furthest from fair trade that you can get. 1%-5% of sales are fair trade”?? Ummm yeah…..*$’s is now known as one of the single most anti-fairtrade companies around, especially considering the trademark agreement situation….