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Starbucks CEO says workers will be paid for next 30 days even if stores close because of coronavirus

The CEO of Starbucks insists the coffee store chain will pay its workers for the next 30 days even if locations are shuttered or if employees are not comfortable coming in due to the coronavirus outbreak as other US firms make similar moves to ensure they can retain workers and not rehire new ones after the pandemic is contained.

Starbucks CEO Kevin Johnson says he wants to provide some ‘economic certainty’ to the chain’s roughly 350,000 employees, whom he called the chain’s ‘partners’.

‘We made a commitment to all our Starbucks partners in the US and Canada that for the next 30 days we will pay them, even if their store is closed or even if they are just uncomfortable coming into work,’ he told Good Morning America on Friday.

Starbucks CEO Kevin Johnson says the coffee chain will pay its workers for the next 30 days even if locations are shuttered due to the coronavirus outbreak

Johnson says the company will even offer the month's pay to workers who are uncomfortable about coming to locations that have remained open

Starbucks CEO Kevin Johnson says the coffee chain will pay its workers for the next 30 days even if locations are shuttered or if employees are not comfortable coming in due to the coronavirus outbreak

Johnson says he wants to provide some 'economic certainty' to the chain's roughly 350,000 employees, whom he called the chain's 'partners'

Johnson says he wants to provide some ‘economic certainty’ to the chain’s roughly 350,000 employees, whom he called the chain’s ‘partners’

Johnson’s announcement comes as other US companies hard hit by the impacts of the flu-like virus, also known as COVID-19, have amended policies to support workers who’ve remained on the front lines as the pandemic runs its course.

Meghan McCain, daughter of deceased Republican Sen. John McCain of Arizona, tweeted that anyone working 'essential and vital jobs' should get 'hazard pay' for their service

Meghan McCain, daughter of deceased Republican Sen. John McCain of Arizona, tweeted that anyone working ‘essential and vital jobs’ should get ‘hazard pay’ for their service

AT&T says it is offering staffers 20 per cent bonuses above their hourly wage rate. 

The company and other telecommunications firms have continued operating to provide Americans streaming services and support for apps and merchants selling online services and products delivered to US households during the outbreak. 

Wynn Resorts also is offering its employees a month’s worth of earnings. Wynn’s CEO Matt Maddox says he’d rather pay idled workers than have to let them go and later replace them with new employees once the worst of the outbreak is over.

‘I can’t imagine going out (to) rehire and retrain 13,000 people. I’d rather keep the knowledge and experience that we have now in the service standards,’ he told CNBC earlier this week. 








A snapshot of coronavirus cases across the US. Cities including New Orleans, Miami and Chicago each have more than 1,500 cases - unlike China where no area outside Hubei ever reached that. A total of 12 states have already surpassed 1,500 cases each

A snapshot of coronavirus cases across the US. Cities including New Orleans, Miami and Chicago each have more than 1,500 cases – unlike China where no area outside Hubei ever reached that. A total of 12 states have already surpassed 1,500 cases each


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The US has more than 92,000 confirmed cases of the coronavirus, which has been blamed for almost 1,400 known deaths across the country. 

US unemployment claims, meanwhile, have surged to 3.28million – four times the previous record – as a result of the pandemic which is crippling the world’s economy and shattering President Donald Trump’s record-breaking unemployment lows.

Researchers say the coronavirus could kill 81,000 people in the US over the next four months even if social-distancing lockdowns work

The coronavirus pandemic could kill more than 81,000 Americans over the next four months and may not subside until June, a new analysis suggests.

Researchers from the University of Washington School of Medicine predict that the number of US deaths could vary widely, ranging from as low as around 38,000 to as high as around 162,000.

The number of hospitalized patients is expected to peak nationally by the second week of April, though the peak may come later in some states.

Some people could continue to die of the virus as late as July, although deaths should be below epidemic levels of 10 per day by June at the latest, according to the analysis.

However, the team says that this is only if people follow local and federal guidelines and stay indoors. 

Three million people filed claims between March 14 and March 21, according to a staggering report that was released by the Department of Labor on Thursday morning.

In the week ending March 14, the number of initial claims was 282,000 – meaning 3,001,000 new ones have been filed since then.

The previous high was 695,000 in October 1982. 

The report says service industries – specifically food and accommodation – are the hardest hit but that claims are also coming from the healthcare industry and from people who work in manufacturing, entertainment and arts.

A recent poll also finds that one in three Americans say they or an immediate family member have lost their job as the pandemic continues its impact on the economy.

According to a new ABC News/Washington Post poll, one in three say they or a family member has been laid off due to the outbreak and half have reported a cut in pay or work hours. 

Among those who haven’t yet experienced a job loss in their family, 58 percent said they were concerned about the possibility it would occur. Fifty three percent also reported concerns their families would be hit with pay cuts or reduced working hours. 

Workers who complained of struggles include staff at Amazon, who say they are having difficulty getting access to sick pay and fear colleagues are coming to work ill – as they paint a grim picture of coronavirus protections inside warehouses where ‘everything has been touched by 1,000 hands.’

US unemployment claims have surged to 3.28million - four times the previous record - as a result of the pandemic's crippling impact on the economy. People are shown waiting in line at the unemployment office in Las Vegas

US unemployment claims have surged to 3.28million – four times the previous record – as a result of the pandemic’s crippling impact on the economy. People are shown waiting in line at the unemployment office in Las Vegas

It comes after infections were reported at 11 of the company’s sites across America – including its biggest fulfillment center in California – but most of them remained open for business.

Amazon has increased pay and offered sick leave to anyone who has tested positive for coronavirus, but critics accuse the $1trillion company and owner Jeff Bezos of failing to do enough – just weeks after he pocketed $3.4billion by selling stock.

Employees at The Cheesecake Factory also were hit hard after the restaurant chain announced workers were being furloughed without pay because of the economic impact caused by the coronavirus.

The California-based chain furloughed about 41,000 hourly restaurant worker after dine-in service was scaled back and due to ‘landlord closures of certain properties,’ the company said in a regulatory filing Friday.

The number is more than 90 per cent of the estimated 44,900 people employed by the companas of Dec. 31, according to its latest annual report, the New York Post reports.

Among companies showing support for workers during the pandemic, J.M. Smucker is giving its approximately 5,700 employees in manufacturing, distribution and other jobs involved with food delivery a one time $1,500 hardship award.

The award is a gesture of gratitude in ensuring delivery of food to fellow citizens, says the company’s president, Mark Smucker, reports The Meadville Tribune.

Texas Roadhouse co-founder and CEO announced he will be giving up his bonus and base salary this year to pay the restaurant chain’s workers during the pandemic.

Taylor will be redirecting what he would have received from March 18 to Jan. 7, 2021 to the company’s frontline workers, a spokesperson confirmed to The Hill.

Automakers who shut down their plants leaving thousands of Americans out of work also have come up with contingency plans to help ease the pain.

General Motors on Thursday told its salaried workforce of about 69,000 employees that it will temporarily cut 20 per cent of their salaries as the automaker, also known as GM, works on saving cash during the crisis, reports CNBC.

The salaried workers will be repaid in a lump sum with interest no later than March 15, according to a list of actions announced by the automaker, which was obtained by CNBC.

Additionally, some 6,500 US employees who cannot work from home will go on paid leave. The workers will receive 75% of their pay, keep seniority and retain health benefits.

 

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Written by Angle News

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