Occurred: August 2014
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The use of an 'unpredictable' automated scheduling system by Starbucks made it impossible for some employees to lead normal lives and resulted in significant emotional and financial distress, according to an investigation.
The New York Times published an in-depth portrayal of the impact Starbucks' use of a Kronos algorithmic scheduling system was having on the life of 22-year-old barista and single mother Jannette Navarro, notably:
Erratic hours. Navarro’s work hours were unpredictable and inconsistent, making it difficult for her to plan her life.
Financial instability. The unpredictable schedules led to financial instability, affecting Navarro’s ability to budget and plan for expenses.
Opportunity loss. The scheduling system interfered with Navarro’s ability to pursue her associate degree in business.
Long commute: Navarro had to endure a three-hour commute that required walking two miles, taking two trolleys, and riding a bus.
Relationships: The erratic hours ultimately led her relationships to erode.
Mental health: The stress from the erratic scheduling had a negative impact on Navarro’s mental health.
The article caused an outcry and forced Starbucks to change its scheduling policy by posting work hours a week in advance for its 130,000 employees in the US.
It also announced changes to improve “stability and consistency” for its employees, including an end to “clopening,” the practice of scheduling employees to work opening and closing shifts back to back.
➕ April 2015. New York attorney general's office launched an investigation into the 'on-call' scheduling practices of 13 national retail chains. Amongst other things, it wanted to know whether these companies used Kronos software to algorithmically generate schedules.
➕ June 2015. The NYT and Attorney General investigations persuaded Kronos to update its software in such a way as to tie fairer scheduling practices to reductions in absenteeism and turnover.
https://www.nytimes.com/interactive/2014/08/13/us/starbucks-workers-scheduling-hours.html
https://www.nytimes.com/2014/08/15/us/starbucks-to-revise-work-scheduling-policies.html
https://www.nytimes.com/2015/09/24/business/starbucks-falls-short-after-pledging-better-labor-practices.html
https://www.redbookmag.com/life/mom-kids/news/a18600/starbucks-promises-better-scheduling/
https://www.cbsnews.com/news/is-starbucks-shortchanging-its-baristas/
https://www.seattletimes.com/business/starbucks-vows-to-change-unpredictable-barista-work-schedules/
https://money.cnn.com/2014/08/14/news/companies/starbucks-schedule-changes/index.html
https://time.com/4047359/starbucks-scheduling-labor-practices-memo/
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Type: Incident
Published: March 2023