Starbucks Head Touts Healthcare

NEW YORK CITY-Howard Schultz warned that he wasn’t going to talk about same-store sales figures or expansion strategies yesterday at the National Retail Federation’s annual Convention & Expo at the Jacob K. Javits Convention Center. Instead, Starbucks’ chairman of the board and chief global strategist decided to discuss healthcare reform during his acceptance of the NRF’s Gold Medal Award, the organization’s highest honor.

Over the last five years, he said, Starbucks has seen double-digit increases in healthcare costs for its employees, and company executives expect those expenses to jump another 14% this year. The reason costs keep shooting up is to offset the price of medical attention for the 45 million Americans who are without coverage, Schultz said.

Healthcare costs are one of the most vital issues facing retailers today, he said, stressing the importance of the industry providing benefits for employees. Such benefits will retain valuable employees, Schultz said. “It’s good business,” he said. “It produces a loyal workplace.”