Courtesy of Mish.
Earlier today, Starbucks announced a College Achievement Plan in which it will pay for its baristi and other employees to go back and finish their college degrees.
Employees only have to work 20 hours a week to be eligible. The plan is an online program in partnership with Arizona State University.
For the first two years, Starbucks will pick up about half the employees expenses. For the final two years, Starbucks will pick up all of them. This presumes the students are eligible for Pell grants, which most of them should be as the employees make about $10 per hour.
Moreover, and unlike programs at other companies, there are no strings attached. Workers do not have to stay employed at Starbucks for any length of time after they graduate.
The offer only applies to company owned stores, not franchises. But that’s not my “but …”, which I will get to in a moment.
Many Positives
From a marketing standpoint as well as a business standpoint, the announcement makes sense. For the students, what can be better?
In return, Starbucks will get very dedicated workers for four years. Employee loyalty will be exceptional and turnover low.
Think students will prefer Starbucks over other brands? I do. Many will be loyal to Starbucks for the rest of their lives.
Other Details
MarketWatch has other details in its report.
…
