USA 
United Kingdom
The New York City Department of Consumer and Worker Protection (DCWP) has filed a lawsuit against Starbucks, alleging wrongful termination of a long-serving employee in violation of the city's Fair Workweek Law.
The case, filed with the Office of Administrative Trials and Hearings (OATH), claims Starbucks dismissed barista Karmen Rich without just cause on December 27, 2023. DCWP is seeking restitution, backpay, and civil penalties from the coffee chain.
Allegations of wrongful dismissal
DCWP Commissioner Vilda Vera Mayuga said the agency is committed to protecting workers’ rights and ensuring compliance with labor laws.
“We’re dismayed to see Starbucks wrongfully terminate yet another worker, and we will never hesitate to take action to secure justice,” Mayuga stated.
In response, Starbucks stated: "At Starbucks, our success starts and ends with our partners (employees). We are all partners; we believe in holding ourselves to the highest standards."
The case stems from a complaint filed by Rich in early 2024, claiming her dismissal violated city regulations. DCWP’s investigation concluded that Rich had adhered to company policy, contradicting Starbucks’ claim that her termination was justified.
Under New York City’s Fair Workweek Law, fast food employers must provide just cause when firing an employee who has completed a 30-day probation period. Dismissals based solely on single policy violations are generally prohibited unless linked to dangerous or illegal conduct.
As part of its legal action, DCWP is seeking an order that requires Starbucks to provide Rich with backpay, along with a $2,500 civil penalty under the Fair Workweek Law.
Starbucks faces repeat allegations
This is the third time DCWP has taken legal action against Starbucks for alleged wrongful termination. Commissioner Mayuga emphasized the agency's readiness to enforce labor protections against major employers.
Council Member Julie Menin, Chair of the Committee on Consumer and Worker Protection, praised DCWP’s efforts and stressed the importance of holding corporations accountable.
“New York City law is clear that workers have rights, and there are consequences for violating those rights,” Menin said.
Council Member Carmen De La Rosa, Chair of the Committee on Civil Service and Labor, echoed that view, adding that Fair Workweek laws are crucial to protecting vulnerable employees from exploitative practices.
Since the law took effect in 2017, DCWP has resolved over 390 investigations and secured nearly $34.5million in fines and restitution for more than 26,800 workers.
