Beyond the cup. - Starbucks

Mission ReviewMission Review was established in 1991 to allow partners away to voice concerns when they believe the company isnot operating in a manner consistent with StarbucksGuiding Principles. When partners submit comments orquestions directly to the Mission Review team, they areassured of a personal follow-up in a timely manner. In fiscal2005, our Mission Review team recorded more than 4,200contacts from North America partners on topics that rangedfrom the company’s sick time policy to environmentalresponsibility. Some of our international business units havealso embraced this concept and provide similar forums totheir partners. However, we do not currently track MissionReview submissions for our international markets.Business Conduct HelplineAs part of our Business Conduct and Corporate Complianceprogram, the Helpline provides Starbucks partners with accessto a non-company, third-party agent who is available for theircalls 24 hours a day. Partners are protected from retaliation,yet they may still choose to remain anonymous when callingthe Helpline. In all cases, information is treated confidentially.The concerns reported are investigated and resolved in amanner consistent with Starbucks Mission Statement andGuiding Principles. Starbucks Helpline has been in place foryears, well before the federal Sarbanes-Oxley Act of 2002mandated it as part of corporate compliance.Recognizing Our PartnersStarbucks success reflects the quality, imagination andinitiative of our partners. We developed the Starbucks PartnerRecognition Program to recognize our partners’ contributions.Currently there are 18 formal recognition programs thatpartners can use as tools to incent, reward and inspireone another. They range from company awards to specialacknowledgements given by co-workers.Workplace Policies and Respecting Partner RightsStarbucks has workplace policies to provide for equalemployment opportunities and strictly prohibit discriminationor harassment on the basis of age, race, gender, color, nationalorigin, religion, sexual orientation, physical or mentaldisability, as well as any other basis prohibited by federal,state, local or provincial laws. We follow all laws regardingthe employment of minors. The current minimum age ofemployment at Starbucks is 16, and it may be higher in somelocations as required by local regulations.Starbucks also recognizes our partners’ right to unionize.We have always taken the approach of being pro-partnerby focusing on providing a great workplace environmentand a comprehensive Total Pay package. (See page 68 forinformation about Total Pay.) At the end of fiscal 2005, 123Canadian partners were the only Starbucks partners formallyrepresented by a union.Thirteen partners at our Kent, Washington, roasting plant hadpreviously been represented by the International Union ofOperating Engineers Local 286. In fiscal 2004, these partnersnotified the union that they were no longer interested inbeing represented. The union withdrew its representation inJune 2005.We reported in our 2004 CSR Report that a small numberof our partners working in one Starbucks store in New YorkCity notified the National Labor Relations Board (NLRB)that they were interested in being represented by a union. Onthe day before the scheduled election, the union voluntarilywithdrew its petition to the NLRB. Following the withdrawal,the union filed several unfair labor practices charges againstStarbucks. As of the end of fiscal 2005, the NLRB had notruled on the allegations.Starbucks is committed to following any and all labor lawsin a fair and consistent manner. We do not take action orretaliate against partners who express their views about unionsor who take part in union activity.Honoring the Legacy ofOrin C. SmithIn recognition of Starbucks former president andceo who retired in 2005, we established the Orin C.Smith Scholarship at the University of Washington(UW) in Seattle, where Starbucks headquarters islocated. Each year for the next 10 years, two $25,000scholarships will be awarded to UW undergraduateswho are sons or daughters of Starbucks partners. Wealso renamed our President’s Award to be the OrinSmith Award to recognize Starbucks partners who farexceed expectations and make profound impacts onpartners, customers and the financial success of thecompany. Award recipients receive $5,000.66WORKPLACE