- Coffee giant Starbucks has made a couple of major announcements this week, including an extension of catastrophe pay and more than $3 million in COVID-19 donations
Coffee giant Starbucks has made a couple of major announcements this week. Starbucks is extending catastrophe pay to employees until May 3 and its lobbies will remain closed until then. And the company is also making a donation of over $3 million to a variety of charities and nonprofits involved in fighting the effects of the pandemic.
The temporary benefits for employees were originally expected to expire on April 19.
“As we continue to navigate COVID-19 together, I want to first take a moment to share my deepest gratitude and appreciation for all of you,” said Rossann Williams, EVP and president US Retail at Starbucks Coffee Company in a letter to employees. “You’ve led through an unbelievable amount of change these last few weeks and have come together in deeply human ways to support each other and our communities, including our brave front-line responders and health care workers.”
Starbucks employees who are sick, self-isolating, or taking care of loved ones are eligible for 14 days of catastrophe pay through May 3. And employees who choose to work will receive Service Pay (an additional $3 per hour).
“We will continue other temporarily expanded benefits for partners, whether they are working a shift or not, like childcare support through Care@Work and our expanded Food/Beverage Benefit and discounts,” added Williams.
Some of the company’s other resources, including mental health services and the company’s CUP Fund would also remain available.
After May 3, Starbucks plans to slowly begin to adjust back to more normal operating models and benefits plans. Through May 3, Starbucks is also offering a free hot or iced tall coffee to frontline workers who visit its locations.
Donations To Combat Effects Of COVID-19
The Starbucks Foundation also revealed it is offering $3 million to support relief efforts, including a $1 million donation to the World Health Organization’s COVID-19 Solidarity Response Fund and $1 million to Give2Asia to support the region’s front-line medical workers. Previously, Starbucks gave donations to the Chinese Red Cross.
“As the world grapples with an issue of enormous scale and human impact, we are dedicated to serving communities through the lens of Our Mission and Values: to inspire and nurture the human spirit –one person, one cup, and one neighborhood at a time,” explained John Kelly, Executive Vice President at Starbucks.
The Starbucks Foundation also already made donations to various organizations in the U.S., including $250,000 to the COVID-19 Response Fund. And Starbucks also pledged $250,000 to organizations that offer shelters and resources to the homeless.
As New York City has been one of the most affected regions, Starbucks is donating $250,000 to Robin Hood’s COVID Response Fund. And Starbucks is giving a $50,000 donation to the United Way of New York City, $25,000 to the New York City Police Foundation, and $25,000 to the Food Bank for New York City.
Plus Starbucks is supporting the United Way’s coronavirus-related efforts in the U.S. and Canada along with donating funds to hospital funds in Canada.
