Starbucks Will Slash 5% of its Corporate Workforce Around the Globe

Coffee powerhouse Starbucks will be cutting the amount of corporate workers it has across the world according to a WSJ report.

A memo, which was obtained by CNBC, has discovered that Starbucks will be laying off approximately 5% of its corporate workforce.

In the memo, CEO Kevin Johnson wrote that affected divisions would experience “significant changes.” He said the decisions had ben “incredibly difficult,” he said they were made after “very careful consideration.” He also said impacted roles were related to work that had been “eliminated” or “deprioritized.”

The CEO said that around 350 employees in marketing, creative, product, technology and store development would be affected.

Johnson also spoke with CNBC’s Jim Cramer about the U.S. and China trade war and said that the company isn’t feeling a negative impact but isn’t fully immune.

Johnson explained, “We really built Starbucks in China for China. It really is operating as an entity in China that is relevant to the consumer, to the culture.”

“We think we’ve got one of the world’s most admired and trusted brands, and we’ve got the right strategy to really drive the growth agenda here over the next several years,” he added.

Disclaimer: We have no position in Starbucks Corporation (NASDAQ: SBUX) and have not been compensated for this article.