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Starbucks said Thursday that a majority of its baristas and shift supervisors in North America received bonuses through a new incentive program. The coffee chain reported that 80% of its North American coffeehouse employees received an additional payout of up to $300.

Eligible employees can receive as much as $1,200 annually through the Best of Starbucks Reward program. Starbucks announced the initiative last spring, linking the payments to specific results at individual coffeehouses.

The company said bonuses become available when a coffeehouse meets or surpasses selected sales, operational and customer service targets. Starbucks described those measurements as factors that drive growth, tying employee rewards directly to store performance.

The program does not immediately extend on the same terms to unionized stores. Those stores account for 5% of Starbucks locations in the United States, and the incentive must first go through collective bargaining.

Alongside the bonus initiative, Starbucks expanded the tipping choices available to customers. Patrons can now tip with a credit or debit card when ordering on their phones or through the Starbucks app at the register.

Starbucks said the updated options generated $22 million in additional tips for eligible partners, the term the company uses for employees. Executives previously said the combined incentives increase employee pay by roughly 5% to 8% on average, beyond hourly wages.

The payout arrives as CEO Brian Niccol moves Starbucks beyond its turnaround strategy and toward a renewed emphasis on growth. The shift comes at a consequential point for the 55 year old coffee chain.

Recent quarterly results offered evidence of stronger sales performance. Starbucks posted same store sales growth of 7.2%, exceeding Wall Street expectations of 6.2%.

The United States business helped drive that result, with sales rising 7.7%. Ticket sizes increased roughly 5% as customers spent more at Starbucks, particularly on merchandise and the chain’s fall beverages.

The release of Starbucks’ fall drink menu also produced the company’s strongest seasonal launch day to date. Transactions increased by roughly 2% during that launch, adding another positive data point to the company’s growth push.

Baristas have taken on a central role in carrying out Niccol’s plans to attract customers. Those efforts include innovations inside stores as well as merchandise releases designed to generate customer interest.

Demand around one such release became intense enough that some customers camped outside Starbucks stores. They were waiting for a chance to buy the limited edition Bearista Glass Cold Cup Surprise Box.

Employees are also being asked to adapt to new workflows as Starbucks changes how orders are handled. Roughly half of the company’s customers use the drive through, making that channel an important part of daily store operations.

Starbucks plans to test background AI models intended to help baristas enter orders more quickly and accurately. The proposed technology would support workers handling drive through demand while the company continues pursuing operational targets.

The bonus program, expanded tipping options and store initiatives place employees at the center of Starbucks’ effort to sustain its recent sales momentum. For eligible workers, that push has already produced bonus payments and millions of dollars in additional tips.

At the same time, the rollout remains uneven because unionized stores must negotiate over the incentive before receiving it on the same basis. Starbucks is therefore advancing its performance reward program while collective bargaining determines how it may apply at those locations.

DISCLAIMER: GoldInvestors.news is not a registered investment, legal or tax advisor or broker/dealer. All investment/financial opinions expressed by GoldInvestors.news are from the personal research and experience of the owner of the site and are intended as educational material. Although best efforts are made to ensure that all information is accurate and up to date, occasionally unintended errors and misprints may occur.