Starbucks CEO Brian Niccol, who used to fly 1,600 km thrice a week from California to his office in Seattle, has now reportedly bought a home in Seattle, aligning himself with the coffee giant's increasingly stringent return-to-office mandate, Fortune reported.
When Niccol's appointment was first announced last August, his offer letter outlined an extraordinary arrangement: a daily 1,600-kilometer commute between his California residence and Starbucks' Seattle headquarters. This setup, facilitated by a corporate jet, was designed to accommodate the company's hybrid work policy, which, since 2023, required him to be in the Seattle office at least three days a week, even when not traveling for other work-related duties. This wasn't Niccol's first rodeo with long-distance executive commutes; he had a similar arrangement as CEO of Chipotle in 2018, even overseeing the company's headquarters relocation to California after his appointment.
But, the landscape at Starbucks has recently shifted dramatically. In a move signaling a firm return to traditional office work, Niccol informed employees on Monday that corporate staff must now report to the office at least four days a week starting in October. This expanded in-office requirement is part of a broader series of "Back to Starbucks" initiatives aimed at reigniting growth following a year marked by weakening sales, internal restructuring, and brand protests.
Further underscoring this push for physical presence, remote leaders and managers working out of Starbucks's Support Center have been given 12 months to relocate to either Seattle or Toronto. This follows a February ultimatum that had already asked the company's vice presidents to make a similar move. Recognising that not all employees may be able or willing to comply, Starbucks is offering a one-time voluntary exit programme with a cash payout for eligible staff.
While Niccol was initially not required to relocate to Seattle, with the company even offering to help set up an office near his Newport Beach, California, home, his recent actions speak volumes. Starbucks spokeswoman Lori Torgerson confirmed to Fortune that Niccol has since bought a home in Seattle and is now frequently seen at the company’s headquarters. This personal commitment to the Seattle base, despite his initial unique arrangement and substantial compensation package (including a base salary of $1.6 million (about Rs 13.5 crore) annually and a compensation package close to $100 million in 2024), sets a clear precedent from the top as Starbucks doubles down on its in-person work culture.
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