Starbucks just became the latest company to add paid leave benefits for its hourly workers. Baristas and other retail personnel–called “partners” by the company–will get time off to welcome a baby or care for a sick loved one.
As of April 2018, the new parental leave policy will include up to 6 weeks of paid leave for the birth mother and all non-birth parents.
It will also “allow partners to accrue paid sick time based on hours worked and then use them if they or a family member needs care. Sick Time will accrue at a rate of one hour for every 30 hours worked, thus a partner working 23 hours a week can expect to accrue approximately five days of sick time benefit over the course of one year.”
Hourly employees will also get a pay bump as of April, when all eligible U.S. hourly and salaried partners will receive a second wage increase in addition to what they’ve already received this fiscal year. “This will include an investment of approximately $120 million in wage increases that will be allocated based on regional cost of living and laws that vary from state to state,” according to a company statement.
This comes on the heels of a similar announcement from Walmart that raised the minimum wage for hourly workers and added paid time off benefits.
Starbucks says that this will cost the company more than $250 million to cover more than 150,000 partners. The company is still planning to create more than 8,000 new part-time and full-time retail jobs and an additional 500 manufacturing jobs in its Augusta, Georgia, soluble coffee plant.LD