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Retailers, consumers and prices

Starbucks workers will pay more for health insurance

July 27, 2009

schultzinsuranceStarbucks Chief Executive Howard Schultz says the coffee chain now pays almost as much for employee health care as it does for coffee beans, so the company long-known for its generous health benefits will begin passing more of those costs to employees.

The news from Starbucks comes amid skyrocketing U.S. health-care costs that are forcing American companies large and small to hike employee health-care contributions,  cut back on coverage, or eliminate it altogether.

U.S. health care spending consumes 16 percent of GDP, about $2.2 trillion a year,  and is projected to rise to 25 percent of GDP by 2025. But while the U.S. spends more than any other country on health care, its residents aren’t among the world’s healthiest. Some 46 million Americans are uninsured.

President Barack Obama says a broad health care overhaul is critical to a U.S. economic recovery. Congress is not expected to pass any reforms until after Labor Day. 

Remember all this next time you consider putting coin in the tip jar at Starbucks.


46 million Americans are uninsured, these are almost third world country figures, an absolute disgrace!


Starbucks has always been responsible towards sustainable development and walked an extra mile when it comes to its stakeholders like its employees, suppliers and society.Ethical sourcing of coffee, its concern for employee healthcare are all well known and recently I read about its partnership with Rwanda under which Starbucks outlet would sell Rwanda handcrafted fabric bag This is really amazing!!!


Life insurance gives an individual’s family the financial security needed and protects them from uncertainties and eventualities of life.

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