More Corporate Woes

Starbucks announced on Wednesday that they are….

- Closing 300 stores
- Eliminating 6,000 store workers
and
- Laying off an additional 700 corporate jobs

It was only a matter of time! In some cities (*cough cough NEW YORK CITY cough cough*), there are more than one Starbucks within one or two blocks of each other!

More Than 500 Starbucks Stores Closing

Starbucks Corp. declared yesterday that it will close 500 more locations in the U.S. and cut 7% of its work force. The Seattle-based coffee giant is continuing to see weak sales as high gas prices and other pressures on consumer spending prompt Americans to cut back on extras. No one can afford to pay five dollars for a coffee anymore!

Approximately 12,000 full-time and part-time retail positions will be lost due to the closures of these locations. This is a pretty big hit for Starbucks in the U.S. but they are looking for a light at the end of the tunnel. They admit plans to expand abroad, where markets are more promising.