GO
Loading...

Starbucks Baristas...Court Says You've Got to Share tips

Workers fill orders inside a Starbucks in New York, U.S.
Robert Caplin | Bloomberg | Getty Images
Workers fill orders inside a Starbucks in New York, U.S.

New York's highest court said Starbucks' baristas must share their tips with shift supervisors, but assistant managers are left out in the cold.

The Court of Appeals on Wednesday found that shift supervisors who do much of the same work as the coffee servers get to share in the tips. The court also ruled the company can deny those tips to assistant managers.


The court backed Starbucks' policy of divvying up the tips, saying it's consistent with labor law.

—Hospitality industry groups say the state court decision will be felt far beyond shops owned by Seattle-based Starbucks. It will affect 42,000 New York businesses statewide and a quarter-million hospitality industry workers in New York City alone.

Latest Special Reports

  • With the world becoming more interconnected, it’s getting harder to anticipate and manage global risks. We take a look at some of the biggest risks and ways to mitigate them.

  • From family-run companies to public companies with family ownership, we tackle challenges and rewards facing family businesses.

  • Inside the market's biggest sectors with a look at the trends, companies and trades netting profits for investors.

Business