Jin10 Data reported on April 30 that Starbucks CEO Brian Niccol said on Tuesday that the company would increase its investment in employees while reducing its investment in equipment, including the previously touted automation systems, breaking a broader industry trend of relying more on technology for store operations. Niccol stated that increasing headcount is crucial for improving customer experience, “For the past few years, we have been reducing labor in stores, and I think we want the equipment to offset the reduction in labor. We have found, based on the results, that this is not an accurate assumption.” As a pilot, Starbucks is increasing staff numbers at five stores. By May, 1,500 to 2,000 U.S. stores will add employees, reaching about 3,000 by the end of the year.
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