Starbucks Exits Russia, Workers To Get 6-Months Salaries

WhatsAppWhatsAppFacebookFacebookTwitterTwitterPinterestPinterestRedditRedditGmailGmailShareShare

RussiaRussia Russia – Starbucks stated on Monday that it will leave the Russian market after around 15 years, joining McDonald’s Corp (MCD.N) in signaling the end of some of the country’s most well-known Western brands.

Following the assault of Ukraine, the Starbucks company, which has 130 licensed outlets in Russia, had previously halted all operations in the country.

Starbucks Quits Russian Market

Starbucks has stated that it will persist to assist its 2,000 employees in Russia, by paying them for an additional six months.

Starbucks has 130 locations in Russia, run by its licensee Alshaya Group, and employs over 2,000 people there.

Starbucks’ decision to close its Russian operations differs from those of some other international firms.

Related Posts

Other Western Companies

Last week, McDonald’s announced that it would sell its restaurants in Russia to local licensee Alexander Govor, who will rebrand them under a new name while keeping the McDonald’s trademarks, and that Renault (RENA.PA) would sell its maximum stake in Russia’s largest carmaker with the option to buy it back.

Other Western firms, such as Imperial Brands (IMB.L) and Shell (SHEL.L), are severing links with the Russian market by agreeing to sell or transfer over their holdings in the nation to local managers.

Additional 6-Months Salaries for Workers

After Moscow’s invasion of Ukraine in March, Starbucks closed its locations and ceased all business activities in Russia, including shipments of its products to the nation. continue reading

The company, which established its first store in Russia in 2007, has stated that it will continue to assist its employees in the country, including paying them for the next 6 months.

Starbucks did not share financial information regarding the exit. McDonald’s has previously stated that it will incur up to $1.4 billion charge in non-cash.

Ayswarya Murthy

Ayswarya Murthy is a political journalist. She came to writing through an interest in politics.

Recent Posts

Work-Life Balance the Japanese Way: What Is Yutori and Why You Need It

In today's frantic world, the Japanese philosophy of Yutori provides a refreshing alternative to the hustle mentality. Meaning "room to…

June 14, 2025

Taiwan Welcomes Filipinos with Extended Visa Free Entry Until 2026

An extension of Taiwan's visa-free travel programme for Philippine passport holders has been renewed for another year. This extension allows…

June 14, 2025

Judge Blocks Rubio’s Plan to Lay Off 2,000 State Department Employees

A federal judge in San Francisco has temporarily prevented Secretary of State Marco Rubio from laying off almost 2,000 U.S.-based…

June 14, 2025

eShram Card  for Unorganized Workers Full Guide: Who Can Apply, Required Documents and How to Check Balance

Launched on August 26, 2021 by the Ministry of Labour and Employment the eShram Card is the pioneering initiative of…

June 13, 2025

Unilever Under Fire: Ivory Coast Workers Accuse Unilever of Union Rights Violations

Employees at Unilever Côte d’Ivoire have alleged that the company severed its collective bargaining agreement with employees amid plans to…

June 13, 2025

Bulgaria Opens Doors to 70,000 Migrants Workers to Tackle Labour Shortage

During a parliamentary committee meeting, Bulgaria's social minister Borislav Gutsanov stated that between 50,000 and 70,000 migrants from foreign countries…

June 13, 2025