3 weeks Ago
The incoming head of the world’s largest coffee chain is already facing criticism weeks before his first day. On Aug. 11, newly appointed Starbucks CEO Brian Niccol’s offer letter , thanks to a Securities Exchange Commission (SEC) filing.
The letter outlines Niccol’s stock options, benefits and start date — expected to be Sept. 9 — but it’s his planned supercommute that’s attracting much of the attention. The incoming executive won’t be forced to relocate to Starbucks’ headquarters in Seattle, Washington.
Instead, he’ll be allowed to commute from his home in Newport Beach, California — that’s over 1,000 miles from home. He will have access to the company’s aircraft for business-related travel as required by his position, to travel between his home city and the headquarters, and for personal travel “up to a maximum amount of $250,000 per year,” according to the letter. Niccol accepted Starbucks offer to set up a remote office in Newport Beach and hire an assistant of his choosing to remain in California.
And for up to three months, the coffee conglomerate will cover his temporary housing arrangements in Seattle as well as a driver to transport him as necessary until he secures “permanent secondary housing arrangements.” As outlined in the letter, Niccol will be paid a base salary of $1.6 million per year and has the opportunity to earn an annual cash bonus of 225% to 450% of his salary, meaning he could net an extra $3.
6 million to $7.2 million, depending on how he performs. Starbucks also agreed to pay him a $10 million signing bonus, as well as $75 million in equity awards.
Starbucks did not immediately respond to TODAY.com’s request for comment on the matter. A Starbucks spokesperson on Aug.
20 that when Niccol is not traveling for work, he’ll be expected to work from the Seattle office at least three days a week, in keeping with the company’s hybrid work policies. “Brian’s primary office and a majority of his time will be spent in our Seattle Support Center or out visiting partners and customers in our stores, roasteries, roasting facilities and offices around the world,” the spokesperson told CNBC. “His schedule will exceed the hybrid work guidelines and workplace expectations we have for all partners.
” Niccol’s office arrangement with Starbucks is similar to what he secured at his last CEO gig with Chipotle: The fast-casual chain from Denver, Colorado, to Newport Beach three months after announcing his appointment. Social media users have been weighing in on the incoming CEO’s employment package with raised eyebrows. “Sure hope he is using paper straws while on his jet and not using any bags to get his groceries home,” one X user.
Some the carbon footprint of such a commute, while others questioned Starbucks’ climate initiatives. “So this doesn’t really ACTUALLY matter to them huh?” one Reddit user in the r/starbucks subreddit, linking to that promises to reduce its carbon, water and waste footprints in half by 2030. “When the CEOs do it, it’s called super commute.
When we do it, it’s called pollution!” one Redditor . Washington, D.C.
native Joseph Lamour is a lover of food: its past, its present and the science behind it. With food, you can bring opposites together to form a truly marvelous combination, and he strives to take that sentiment to heart in all that he does..
