Starbucks union rejects company's proposal to increase wages by at least 2% annually: benefits are unclear.

Workers United, the union organization, stated that Starbucks union representatives who participated in contract negotiations voted to reject the latest proposal from the coffee chain. The proposal guaranteed a minimum of a 2% pay raise annually. Out of 490 baristas who are union members representing over 550 Starbucks stores in the United States, 81% of them rejected the proposal because it did not make any adjustments to economic benefits such as health insurance and did not include an immediate pay raise. "Starbucks' current proposal is insufficient to finalize an agreement," the union stated. In a statement, Starbucks mentioned that the union submitted an incomplete single-store contract framework for voting by their representatives, and added that this action by the union has delayed the process of reaching a mutual agreement.