“Union shop” was synonymous with steel plants and auto factories a generation ago.
The world has changed dramatically.
Coffee shops are now the center of a new labor movement. Activist union campaigns have been marching through Starbucks stores coast to coast.
Over last year’s election cycle, Union elections saw a 70% increase in 2022. Starbucks alone accounted for half of this growth.
However, organizing coffee was not started at Starbucks. It began several years ago in independent coffeehouses aEUR”, which are the type of small businesses that one might consider the least likely to organize. Their owners are far from billionaire Howard Schultz.
Two different union drives in Milwaukee are one year apart. They show the power that unions have, regardless of whether campaigns succeed or fail.
One case saw the founder of a coffee company sit down with his employees, listen to their grievances and make significant changes. His cafA(c),s are union-free.
The other is a long-held dream of an entrepreneur to own his own cafA(c), and run it his way. However, his dreams became a nightmare when his employees voted for a union.
Eric Resch started his career in coffee right out of college. After working as a barista, he was promoted to assistant manager at Starbucks. He then invested in a coffee roaster before launching his own business.
Stone Creek Coffee was founded by him in 1993. He had a vision of his company as a force for good and a responsibility to care for all those around it, from the farmers who plant the beans to the brewers.
His business grew over the years. Resch viewed himself as an accessible boss, who listens and learns, even though he managed 13 cafA(c), instead of 1.
This view was shattered by something that happened in early 2019.
The process began with the delivery of a certified mail from the local Teamsters branch informing him of staff members’ organizing. They wanted to be recognized as a union.
It was an unexpected surprise.
“Oh wow. He recalls thinking, “This is something that I have never seen before.”
Stone Creek Coffee’s organizing was more than two decades before the Starbucks union campaign.
Workers were also speaking out in other parts of the service sector.
Kellie Lutz was a student at Stone Creek and part-time barista. The Fight For $15 was a movement that demanded $15 an hour from fast food workers. After reflecting on her wage of $8.25 per hour at the time, before tips, she came to a disappointing conclusion.
“What I make isn’t enough to pay for two lattes.”
She didn’t understand why it was so confusing. She thought that baristas were the ones who handle stress when sick calls come in, and when the lines are long or the air conditioner isn’t working.
Lutz states, “That all adds up over the time.”
A Facebook post from Teamsters Local 344 appeared on her feed. She reached out to an organizer at the Teamsters Local 344 and started spreading the word about her union bid across Stone Creek cafA(c).
It was a moment of humility for Resch. Resch thought he had put in systems at Stone Creek to collect all feedback, both good and bad. He realized that those systems were not working.
Resch started holding workshops a week after receiving the certificate letter. Resch wanted to have a chance at making things right aEUR” and without the need for a union.
He says, “I stood in front of my team.” “I said, “Talk to me. What was it that I didn’t see? Is there something you are all looking for?
Resch strongly believed that Stone Creek was not the place for a union. Resch feared that it might disrupt the relationships he had built with his staff. He refused to accept voluntary recognition and instead hired lawyers to assist him in the next steps.
Resch was called a union buster for this. Resch’s workshops were referred to as meetings with captive audiences.
It was emotionally draining. He came out of the workshops feeling clear about what went wrong. Many felt invisible and unheard. Workers didn’t have enough opportunities to communicate their thoughts and perspectives.
Resch states that “Organizing as an union was definitely a way to go about it, but there are other ways to approach the problem.”
He was relieved to see that the majority of his employees voted in favor. He was relieved that the majority of his employees voted against the union. This allowed him to take a deep breathe and reflect.
Resch said, “I learned lots.” “I made a significant change in the company.”
Reach spent four months pondering what he had heard from employees. He then got to work.
He made significant efforts to alleviate some of the stress staff felt on the job. He created two travel positions aEUR,” two baristas, who can cover shifts at any Stone Creek cafeA(c) whenever someone calls.
He created new avenues for employees to voice their opinions. He created an employee council, which he meets with each other month. Also, he holds regular company-wide meetings in which anyone can speak up. It is now up to someone else to report on the progress made with the feedback.
Resch wants his employees understand the financial uncertainties he faces and to be able to better communicate with him. Any employee can ask him to open up the books of his company. Resch will ask the employees for their input whenever the company is faced with a major decision, such as the end of its mask requirement.
He says, “I want them understand that there isn’t exactly a right choice, but a decision must be made, and I want to their participation.”
Resch is proud to be a part of Stone Creek’s success, more than three years after the union drive. Resch says he is committed to making Stone Creek even better.
He wants his employees to know that they have a choice.
He says, “I have the option to own and run this company. I will do so as long as it is something I enjoy and that I am healthy.” “And they can choose whether or not this is a great environment to work in.”
A mere mile from the Milwaukee River, another union campaign took a completely different route the next year.
Scott Lucey worked as a barista, and a trainer for 12 years at a different Milwaukee coffee company.
Lucey was a coffee lover, having won numerous barista competitions. He also chaired the Barista Guild of America.
“I would tell people that my inevitable end would come to owning my own cafA(c),” Lucey said.
He made it happen in 2015. He partnered up with two specialty coffee wholesalers from Viroqua in Wisconsin, which is a few hours away. To open the cafA(c), he borrowed large sums of cash and laid his life on the line.
Lucey was the third owner, but he was the only one who also worked in Milwaukee with the staff. He was very concerned about the happiness of his staff. He wanted a positive atmosphere for his cafA(c).
“The first two years… He says that he can be certain that he had many days when everyone liked him in the first couple of years.
A few years back, however, was a turning point. Lucey called a meeting of the staff to discuss work schedules. He asked his staff to write down their availability once they had established their school schedules, as many of them were college students.
It seemed small, but one of his younger employees resisted. They asked Lucey why they had to sign this document.
He explained that being in the cafA(c), is a commitment. It can cause scheduling problems and make it more difficult to manage the business. He didn’t want to force the issue. He did not want to fight.
He stood up and said to the staff: “Fine, if these don’t interest you, I won’t make you sign them.” “I’m trying to show you how important I consider this.”
With the outbreak of the pandemic, the discontent among staff only grew.
Lucey employees felt underpaid and undervalued. They were also excluded from key decisions regarding how cafA(c), in COVID, would function.
“I felt like a drowning person.” I felt like we were all drowning,” says Steph Achter, a barista. “We didn’t get the support that we needed in so many different ways. It wasn’t just 2020.
Lucey was aware there was distrust. A lot of it was directed at his business partners, who were from a different state. He wasn’t ready for the next step.
Achter and a colleague presented some demands to the owners in the summer 2020. Achter shared a document with NPR that stated, “A more equitable workplace that promotes holistic wellbeing, fair wages and a structure for accountability within its leadership team.”
Achter states, “I felt like it were me trying to reach out and ask for help,”
However, sales had plummeted during the pandemic. Lucey was earning less now than he had at his previous job. The answer was “No, not now.”
Achter contacted the Teamsters Local 344, aEUR”, the same union that tried to organize Stone Creek Coffee one year ago, and asked his coworkers to sign union cards.
Lucey wasn’t sure what to say or what he could do. Federal law states that employers cannot question their employees about union activities or promise anything to them.
“Like what if you say the wrong thing?” He recalls thinking.
Amazon and Starbucks have spent enormous amounts of money on union campaigns. It was mostly him at Lucey’s cafA (c). His business partners kept looking in on him and asking if he had spoken with the staff.
He didn’t want to do it.
“I need to have conversations with people about a contentious subject? No! I’ll pass. He thought that he wanted to brew espresso and dial in the espresso.
Staff asked for voluntary recognition. He refused to recognize the union and said that it should be put to a vote. This led to allegations of union busting.
The votes were counted on December 16. The final count was three to two in favor of the union. One person didn’t vote.
The owners of the cafA(c), citing pandemic-related issues, closed the facility indefinitely a few days later.
The next spring, Lucey purchased out his business partners. This was a decision that all three owners agreed was better. He renamed cafA(c), similarly, and hired back employees. The union was protected by federal law.
Lucey’s six employees worked with the Teamsters to negotiate a contract which included some of their desired features: one-month schedules that are posted 10 days ahead. A clause that prevents Lucey’s firing or disciplining employees without cause. A $20 per month wellness stipend that can be used to pay for things such as yoga classes or bike rental fees. All things Lucey said he supported.
He regrets not agreeing to certain parts of the contract, such as a 50 cent an hour increase every year. He does not believe the business can afford it.
He finds the red tape most irritating. He is restricted by the union contract in how long he can spend behind his bar at his cafA(c). He must negotiate with the union any changes that would affect his staff, such as extended store hours.
Lucey says, “I don’t want an extra contract giving me rules.” “That’s why Lucey quit his job and set up my own company, because I wanted things to be my way.”
Achter, who is now the union shop steward at Likewise understands his frustration aEUR”, to a certain extent.
Achter states, “It must be very difficult for him to feel that he has to give up some control over his company.”
The barista, who is a veteran barista, believes that having clear expectations and rules in a contract creates a more productive working environment.
Achter has held Lucey to his contract and filed grievances when Lucey violates the rules. “After all that we did to get the first contract, I am really invested in making it work.”
Likewise’s sales are down by 30% compared with pre-pandemic, and Lucey is worried every day about the survival of cafA(c).
“The positive vibe there is amazing, it keeps me going,” Lucey said. “But sometimes I want to tell people EUR” if you only knew.
