Employees working in more than 5300 Starbucks stores in China may soon receive good news. Today, the snack generation learned that the rumor that Starbucks China plans to carry out a new round of large-scale salary adjustment is circulating in a small range in the coffee industry, and it is expected to be said as soon as this week. According to the above rumors, the world’s largest coffee chain company is interested in implementing a new round of adjustment to the welfare and salary of Chinese employees. In addition to the regular annual salary increase, the planned plan also includes paying 14 salary per year to store employees for the first time.
Starbucks China did not comment on the above statement when responding to the snack generation’s inquiry today. Starbucks China said: “Starbucks has always fulfilled its commitment to deeply cultivate the Chinese market and is committed to improving partner experience. We will share further information at the first time.”
According to the latest financial report for fiscal year 2021, Starbucks’ same store sales in China increased by 17%. In the fourth quarter, China’s business revenue was US $964 million (about RMB 6.166 billion), a year-on-year increase of 18%. So far, Starbucks has opened 5360 stores in 208 cities in China. In the past fiscal year, Starbucks China has recorded a net increase of 654 new stores, including 225 in the fourth quarter. With the growth of the number of stores, Starbucks China is also accelerating the pace of recruiting employees. It is reported that the company currently has more than 60000 employees in China, compared with 55000 in 2019. Behind the rapid development, we must need the support of talents. In fact, Starbucks has taken many measures to attract talents over the years, and hopes to rely on its unique corporate culture to win the favor of more young people.
“Real gold and silver”
Interestingly, this coffee chain company, which has always advocated “family culture”, calls its employees “partners” regardless of their positions – this is translated from the English name of partner, which also means “partner” – according to the data, this is because Starbucks employees can “share the success of the enterprise” through the global coffee bean stock. At the beginning of 2007, “coffee bean stock” began to cover the Chinese market, and even part-time employees had the opportunity to hold the company’s stock.
Starbucks has also been trying to launch some innovative measures in salary and welfare in recent years.
Looking at these salary and welfare policy adjustments over the years, it seems to reveal a clear concept of the company in employment: the return given to employees by the enterprise is not only reflected in salary, but also includes “partner investment” to help employees grow and various “intimate benefits” to make life more convenient. For example, since June 2017, Starbucks China has innovatively launched the industry-leading “parental care plan”, that is, the parental serious illness insurance wholly provided by the company; “Exclusive Star benefits” will be released in 2019.
This rumor has led everyone’s attention to the “real gold and silver” that employees pay most attention to. If the rumor of “14 salary” comes true, it means that Starbucks China will implement its biggest store employee salary structure adjustment in recent years.
After reading the public information, the snack generation learned that the last time Starbucks China adjusted its employee policies was more than a year ago. At that time, the company called upgrading employees “exclusive Star benefits”.
Statistics show that at that time, the exclusive version of Star benefits customized by Starbucks China for employees began to take effect. The benefit is tailored for Chinese partners. The specific content is that “full-time partners who have served for more than 2 years can obtain additional benefit points on the online platform created by the company for selecting exclusive benefit items that better meet their own needs and personalization”. Convertible employee benefits include: reimbursement of women’s care plan for HPV vaccine injection, application for reimbursement of fitness, English courses and other related expenses according to their own interests, exchange for holidays, travel cards, insurance for pets, etc.
Today, a Senior Catering human resources manager pointed out to the snack generation that at present, there is little difference in the salary level of baristas among enterprises in the industry. “When baristas choose chain coffee brands such as Starbucks, the most important thing is complete welfare.”
According to him, the threshold for baristas is higher than that of waiters in the general catering industry, “because baristas themselves need certain skills, customer service awareness and certain requirements for appearance”.
Statistics show that in order to attract excellent barista talents, Starbucks also began to publicize its training mechanism.
According to the company, Starbucks’s “skill investment” in partners is not limited to coffee knowledge and sharing, but also includes providing comprehensive and systematic learning opportunities, such as coffee advanced certification, barista competition, etc. You can also recharge yourself by learning four theme courses including “retail, leadership, coffee and function” through app and online training platform for internal employees.
In this regard, Starbucks said it provided employees with a diversified career development path, including more job opportunities outside the operation of ordinary stores. For example, Shanghai baking workshop partner or coffee roaster, Starbucks Zhenxuan distillery bartender, Principi baking idea roaster, etc. Starbucks once revealed that it promoted a new store manager every 15 hours, a new district manager every week and a new regional director every quarter.
“As Starbucks’ fastest-growing overseas market in the world, we create 10000 new jobs in China every year. Our long-term commitment and investment in China provide partners with more professional and diversified development opportunities,” the Starbucks said.
It is worth noting that this rumor comes at a time when the domestic coffee industry continues to attract capital from inside and outside the industry.
“At present, the competition among major coffee brands for baristas is still very fierce. Compared with 2019, the employment demand of baristas will increase by about 30% in 2020.” the above-mentioned human management person told the snack generation.
China’s coffee market is in a stage of unprecedented vitality and great potential.
According to the data of London International Coffee Organization, compared with the global average growth rate of 2%, China’s coffee consumption is growing at an annual rate of 15%. The scale of China’s coffee market will exceed 300 billion yuan in 2020 and is expected to reach 1 trillion yuan in 2025. Facing such a “super cake”, not only the competition among coffee brands is fierce, but also many cross-border coffee are “eyeing”. In such an environment, the demand of various brands for the employment of baristas is particularly urgent.
Snack generation has introduced that many coffee chains have announced an acceleration of development. Starbucks is no exception. Now, Starbucks is preparing to unlock the next high growth “barrier” in China, and plans to settle in 230 cities and 6000 head offices by the end of fiscal year 2022. Although the shadow of the epidemic still exists, the company has not stopped the pace of store expansion and staff increase.
The snack generation will continue to pay attention to the rumors of Starbucks’ salary rise in China and the subsequent impact.