Starbucks
Starbucks began its business in 1971 in Seattle's Pike Place Market. Today it's the world's leading retailer, roaster and brand of specialty coffee with coffeehouses in North America, Europe, Middle East, and Latin America. Worldwide, there are approximately 33 million customers that visit a Starbucks coffeehouse each week.
Howard Schultz, Chairman and CEO of Starbucks, attributes much of their success to the employees. Schultz found it ironic that for an industry that relies so heavily on its customer service; its employees were amongst the lowest paid and had the worst benefits of any industry. He believed that if you paid more than the going wage in restaurants and retail stores and offered benefits that weren't available elsewhere, Starbucks would attract people who were well-educated and eager to communicate their passion for coffee. He further believed that by offering these benefits, the employee turnover rate would go down and the reduction in training costs would more than cover the added cost of the benefits.
Today, Starbucks offers a benefits package that is unheralded in the industry. Employees who work as little as 20 hours per week are eligible for health care benefits that include medical, dental, vision and alternate services. Employees can also share in the company's growth by buying stock options of up to 14 percent of their gross pay. These stock options are known to employees as "Bean Stock." Starbucks also offers its employees a stock investment plan that allows them to buy shares of Starbucks common stock at an 85 percent discount rate. Starbucks also offers its employees an attractive 401 (k) plan. It's called "Future Roast" and Starbucks will match from 25 to 150 percent of the first 4 percent of pay, based on ...