Sad News for Starbucks’ (NASDAQ: SBUX) “La Boulange” Lovers!

17 Jun, 2015

6326 3

Yesterday, June 16, 2015, Starbucks Corporation (NASDAQ: SBUX), a global specialty coffee retailer company, released an update regarding their plans and commitment to long-term growth for the company. According to Starbucks, their “La Boulange” locations, bakery cafes, are no longer a viable option in the long-term growth of the company. The decision has been made to close down all 23 bakery café locations, as well as the two manufacturing facilities supporting the La Boulange locations. This drastic shut down of the bakery cafes will be set for September 2015. However despite the disappointing news, customers who favor La Boulange products need not worry about missing out on their favorite treats. The company will continue to serve La Boulange baked goods and other products throughout their Starbucks locations. The company also will be closing down an “Evolution Fresh” location in San Francisco.

So what does this mean for La Boulange employees? As we have seen with the company over the years, Starbucks has continuously dedicated time and care into the development of employees, in all levels. Some people may have been worried about the drastic change and how the company’s perception may change as well. Starbucks has already factored in the employment issue regarding this shift and has a plan to be worked-out with employees linked to these locations.

Below is a statement issued in their update regarding the employment issue of these locations:

“All partners (employees) who work in these locations are being treated with the utmost care – receiving personalized transition materials and having in-person conversations with their managers to explain this decision. Where possible, Starbucks will help partners find new positions at Starbucks stores in the area. In addition, retail partners from La Boulange and Evolution Fresh will be offered incentives to continue employment with the company through their store closure.”

The company’s decisions show their continuous efforts in long-term growth with a balance of creativity and perception, throughout their brand.

Prev Next

Rating