Starbucks to close 100-plus stores, cut 900 nonretail jobs in $1B revamp

Starbucks announced on Thursday that it will close more than 100 company stores across the United States and Canada and eliminate about 900 nonretail jobs as part of a roughly $1 billion restructuring under Chief Executive Officer Brian Niccol. The company said it expects to finish the 2025 fiscal year with 18,300 North American locations, a net decline of 124 from a year earlier, and that the exact number of impending closures is still being finalized.

The moves come after a companywide review of coffeehouses intended to align the network with Niccol's "Back to Starbucks" turnaround plan, which prioritizes store design, customer experience and in-store staffing. Niccol wrote in a letter to employees that Starbucks identified "coffeehouses where we are unable to create the physical environment our customers and partners expect, or where we do not see a path to financial performance," and that closing certain locations is a difficult but necessary action.

Starbucks said the cuts will affect corporate and other nonretail functions. Partners in affected stores will be offered opportunities to transfer to nearby locations, and those who cannot be placed will receive severance,...