The Starbucks top executive intends to commute to their workplace using a personal airplane.
The Starbucks headquarters is situated in Seattle, some 1600 kilometers distant from the dwelling place of the newly appointed CEO, Brian Niccol. As per the agreement, he's required to show up at the office a minimum of three times a week. However, Niccol has no intention of relocating and devises an alternate plan.
As disclosed in a board of directors' letter published on Thursday, Niccol won't need to commute long-distance for his job. Starbucks has a corporate jet on standby for his 1600-kilometer journey. Niccol resides in Newport Beach, California, south of Los Angeles, while Starbucks' headquarters is based in Seattle, Washington.
Starbucks has been grappling with a downturn in sales off late. The company primarily attributes this to cautious consumer spending and challenging market conditions in China. However, Niccol has a track record of boosting sales and profits at his previous role at fast-food chain Chipotle. He assumes the CEO position at Starbucks on September 9, with interim CEO Rachel Ruggeri handling duties until then.
Niccol's predecessor, Laxman Narasimhan, had only joined Starbucks in late 2022. He led British consumer goods giant Reckitt Benckiser prior to this and served as CEO of the chain for a year after collaborating with Starbucks' former CEO Howard Schultz.
Two hours and 40 minutes
Niccol's annual base salary at Starbucks is $1.6 million ($1.4 million EURO); bonuses can exceed this multiple times. According to the board of directors' letter, "During your employment with the company, you will not be required to relocate to the company's headquarters. You agree to commute between your residence and the company's headquarters." Therefore, Niccol will utilize the Starbucks plane for his journey, which takes approximately two hours and 40 minutes.
Starbucks mandates its administrative staff to be present in the office for at least three days per week, a rule that applies to Niccol as well. Starbucks is preparing a home office setup for Niccol at his Newport Beach residence.
The following table shows the following: the travel time required for Niccol's commute to Starbucks headquarters is approximately two hours and 40 minutes. The following table also shows that according to the board of directors' letter, Niccol will not be required to relocate to Starbucks' headquarters.
