Starbucks settles unionizing dispute in Michigan

Starbucks and the Industrial Workers of the World reached a settlement agreement this week over unionizing efforts by employees at a Starbucks store in Grand Rapids, Mich.

The IWW had accused Starbucks managers of coercively interrogating employees about their union activities and implying that union organizing activities could lead to adverse personnel action, among other things.

The National Labor Relations Board approved the settlement today, said Stephen Glasser, regional director for the NLRB in Detroit.

No money changed hands in the settlement, but Starbucks agreed to post notices in that store for two months advising employees of their unionizing rights. Starbucks admitted to no wrongdoing.

For the past few months, the NLRB has investigated charges against the coffee shop chain by the IWW and "concluded that there may be a basis for finding a violation" of the National Labor Relations Act, said Glasser.

"We did not issue a complaint," Glasser said. "The employer said, 'We can settle this without formal proceedings.'"

For the past few months, Starbucks has been in hearings before an administrative law judge for a case in which the NLRB accuses Starbucks of unfair labor practices in New York. Trial dates are scheduled through late October. Starbucks says the accusations are baseless.

Last year, Starbucks paid nearly $2,000 to settle an IWW complaint with the NLRB, and in 2005 it paid $165,000 to settle charges that it had screened against job applicants with possible union sympathies and fired an employee for refusing to continue such screening at its Kent roasting plant. In both cases, the company admitted no wrongdoing.

Melissa Allison: 206-464-3312 or mallison@seattletimes.com