Starbucks Layoffs Close Chicago Office

- Starbucks said on May 15 it would cut 300 U.S. corporate jobs and close regional support offices, including its Chicago office. - Brian Niccol said the cuts target regional support roles, follow 1,100 corporate layoffs announced in February, and do not affect store employees. - Starbucks said it is reviewing international support teams next and expects additional job cuts outside the United States.

Starbucks said on May 15 that it would eliminate 300 U.S. corporate jobs and close several regional support offices, including its Chicago office, as Chief Executive Brian Niccol presses a broader turnaround of the coffee chain. The company said the cuts affect corporate employees in regional support roles, not baristas or other store workers. Chicago is among four offices Starbucks said it is closing, alongside Atlanta, Burbank, California, and Dallas. The company also said it is reviewing its international support operations and expects more job reductions outside the United States. ### Which Starbucks jobs are being cut in Chicago? Chicago is one of the regional support offices Starbucks said it will shut as part of the latest round of corporate layoffs. The company did not publicly break out how many of the 300 eliminated jobs are tied to Chicago, but said the reductions are in U.S. corporate and regional support roles. Reuters and other outlets reported that the Chicago office closure was part of a consolidation of underused regional support sites. Starbucks said the move is tied to efforts to simplify how its support organization operates and to reduce duplication across teams. ### Why is Starbucks making another round of layoffs? Brian Niccol has been reshaping Starbucks’ support organization since late 2025. In a January message posted by the company, Niccol said Starbucks needed to examine the “role, structure and size” of support teams globally because the company’s size and structure could slow decision-making and create too many layers. (money.usnews.com) On February 24, Niccol told employees Starbucks would eliminate 1,100 current support roles and several hundred open and unfilled positions. He said the company was “simplifying” its structure, removing layers and duplication, and creating smaller teams. The May 15 layoffs add another 300 U.S. corporate cuts on top of that earlier reduction. (about.starbucks.com) ### What has Starbucks said about store workers and customers? Starbucks said the latest cuts do not affect employees working in its coffeehouses. Niccol made the same point in earlier messages to staff, saying the support-team overhaul would not affect in-store teams or the company’s investments in store hours. (about.starbucks.com) The company has framed the restructuring as part of its “Back to Starbucks” plan, which focuses on store operations, service speed and the in-cafe experience. On its fiscal second-quarter 2026 press page, Starbucks said it had delivered comparable-store sales and earnings growth, after earlier saying in January that it was trying to turn recent momentum into long-term, sustainable growth. (apnews.com) ### Which other offices are closing with Chicago? Atlanta, Burbank and Dallas are the other regional support offices Starbucks said it is closing in the same restructuring. The company said some other offices will remain open, including sites in New York, Coral Gables, Florida, and Toronto, according to trade publication reports citing a company spokesperson. (about.starbucks.com) AP and CNBC reported that this is the third round of corporate job cuts under Niccol. Starbucks has said the reductions are part of an ongoing effort to streamline support functions while it tries to improve performance. ### What happens next for Starbucks employees? Starbucks said on May 15 that it is now reviewing its international support organizations and expects additional job cuts outside the United States. (money.usnews.com) The company has not publicly detailed which countries or offices could be affected next. (apnews.com) April 28 is the date of Starbucks’ most recent quarterly results posted on its press site, and future company filings and updates are likely to provide the next public detail on restructuring costs, office consolidation and staffing changes. Starbucks has already disclosed that support-organization changes are a central part of Niccol’s turnaround plan. (about.starbucks.com) (money.usnews.com)

Get your own daily briefing

Scout delivers personalized news, insights, and conversations tailored to your role and industry.

Download on the App Store

Shared from Scout - Be the smartest in the room.