New Starbucks CEO's Offer Letter, With Big Perks

A public filing shows students a sample executive offer letter. In this case, the new Starbucks CEO gets benefits that raise questions of integrity.

Earlier, I wrote about the GLAAD executive chief’s benefits—in the $25,000 range for a summer place. Starbucks is grappling with optics on a different scale: a 1,000-mile commute for the CEO, which runs counter to the company’s sustainability image. A company spokesperson confirmed that Brian Niccol, rather than relocate, will make the trek from his home in California to Seattle three days a week, which is required by the company’s hybrid work policy.

Niccol’s offer letter indicates a $1.6 million annual salary, up to $7.2 million in bonuses, and up to $23 million in stock. All that isn’t (perhaps shockingly) outlandish considering other CEOs’ compensation. But the environmental impact is an issue of integrity. The company is making a big, visible decision inconsistent with its stated values. “Planet” is featured prominently on the Starbucks website and includes this promise:

Our vision for the future is to become resource positive—giving back more than we take from the planet. And we know we can’t do it alone. It takes all of us.

Does “all” include the CEO?