Starbucks Corp. is upgrading its U.S. paid parental leave plan as it seeks to hire and retain workers in an increasingly competitive labor market.
Effective Oct. 1, qualified store associates who are birth mothers will be entitled to six weeks of paid leave at 100% up from 67% average pay previously, and 12 weeks of unpaid leave.
Store associates who are non-birth parents (including fathers, spouses and foster and adoptive parents) can take up to 12 weeks of unpaid leave.
Also, non-store employees (includes district managers, plant partners, and headquarters employees) who are birth mothers will now have the ability to take up to 18 weeks of paid leave. Non-birth parents will have the capacity to take up to 12 weeks of paid leave. Previously, those 12 weeks were unpaid.
Starbucks associates who work an average of 20 or more hours are eligible for the expanded benefits.
“While we have made substantial investments in our partners, we want to continue to do more,” said the president and COO Kevin Johnson, who will take the reins as Starbucks CEO in April. “This is one of many steps we are actively taking to evolve our benefits and create a partner experience that lives up to our aspirations.”