New Starbucks CEO Brian Niccol to commute 1,600 km from California to Seattle headquarters thrice a week
Starbucks's offer letter to Brian Niccol states that the executive will have access to the company's corporate jet, which he can use to travel from his residence to the company's headquarters. He will travel nearly 1,600 kilometres to work from California to Seattle.
Starbucks Chief Executive Officer (CEO) Brian Niccol, who will join the coffee brand in September, will travel nearly 1,600 kilometres to work from his residence in California to the company headquarters in Seattle, Washington, according to the company's offer letter to the executive filed with the U.S. Securities and Exchange Commission (SEC) on August 11.
The offer letter to Niccol also states that the executive will have access to the company's corporate jet, which he will be able to use at the company's expense to travel from his city of residence to the company's headquarters, along with other corporate travel, as per the filing.
According to Starbucks, Brian Niccol is expected to join Starbucks as the CEO on September 9.
Starbucks also highlighted in the offer letter that the company head will not be required to relocate to Seattle, Washington, as Niccol agreed to commute daily from his residence to the office. The company is also looking to create a small remote office for the chief in Newport Beach, California, said Starbucks in the offer.
“Brian's primary office and a majority of his time will be spent in our Seattle Support Center or out visiting partners and customers in our stores, roasteries, roasting facilities and offices around the world. His schedule will exceed the hybrid work guidelines and workplace expectations we have for all partners," reported CNBC, quoting a Starbucks spokesperson.
The 50-year-old executive will receive a base salary of $1.6 million yearly. He will also have an opportunity to earn a 225 per cent cash bonus of nearly $3.6 million to $7.2 million. He will also be eligible for an equity award of $23 million, according to the filing on SEC.
Niccol had a similar deal when working as the CEO of the food chain Chipotle in 2018. The company's headquarters were in Denver, Colorado, but the fast-food chain shifted its headquarters to California on Niccol's account, reported NDTV Global.
According to the report, comfortable terms like these are common for higher-ranking employees with more bargaining power than other tier employees.
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