Starbucks is pouring $100 million into fancy Nashville offices. But some employees aren’t too hot on making the move. In March, Starbucks presented its roughly 100-member Seattle-based sourcing team with a choice: relocate to Tennessee and take a pay cut of at least 5%, or lose their jobs.
The ultimatum has rattled morale and eroded trust in leadership, according to Bloomberg. To sweeten the deal, Starbucks offered stock grants worth tens of thousands of dollars and extended the decision deadline. The company is also reimbursing up to $2,000 in travel costs for employees to explore Nashville. For those who decline, Starbucks offered retention bonuses starting at $15,000 to stay through the end of 2026.
Nashville offers lower taxes and labor costs compared to Seattle, and Starbucks wants to cut $2 billion in spending over two years. But some Seattle staffers are reluctant to uproot families, and cite concerns about Tennessee’s abortion restrictions and LGBTQ+ policy debates.