Starbucks Ordered To Pay $25M To Former Manager Who Was Fired Following 2018 Arrests Of Two Black Men Accused Of ‘Trespassing’
Starbucks Ordered To Pay $25M To Former Manager Who Was Fired Following 2018 Arrests Of Two Black Men Accused Of ‘Trespassing’
An ex-employee of the coffeehouse franchise Starbucks has won over $25 million after accusing the company of racial discrimination in 2019.
The woman, named Shannon Phillips, alleged that she and fellow white workers were wrongfully penalized after the controversial 2018 arrests of two Black men at a Starbucks location in Philadelphia.
Reportedly, the supervisor of the Pennsylvania store called the police on Rashon Nelson and Donte Robinson for sitting in the establishment without ordering anything. During the 911 call, the supervisor claimed the men were trespassing seemingly because they didn’t make a purchase while waiting on their business meeting to start.
Rashon Nelson and Donte Robinson were later released without charges, and they have since reached an undisclosed settlement with the brand (+ influenced policy changes). However, following the circulation of a video from the incident, a national outcry ensued.
At the time, Shannon Phillips served as a regional manager of operations in Philadelphia and New Jersey, among others, but she stands firm in the fact that she was not involved with the legal actions taken against Rashon Nelson and Donte Robinson.
Amid the chaos that trailed Nelson and Robinson’s detainment, Starbucks demanded Shannon Phillips put another white manager (said to have no connection to Nelson and Robinson’s situation) on administrative leave, but she refused. Not too long after, Phillips was fired.
Starbucks noted that the request was due to a report of Black overseers getting paid less than white store runners, but Phillips combated with the argument that district managers had no say in salaries. In her lawsuit, she blamed the enterprise for “punishing white employees in an effort to convince the community that it had properly responded to [Nelson and Robinson’s] incident.”
Eventually, Starbucks responded by stating that Phillip’s let-go was a result of the need for someone more experienced with “leading” during a business crisis.
Four years after the occurrence, this week, a New Jersey jury unanimously ruled in Phillips’ favor, co-signing her complaint that Starbucks displayed racial injustice and violation of federal/state anti-discrimination laws.
She was granted $600,000 in compensatory damages and $25 million in punitive damages. She may also be getting an additional $3 million for lawyer fees and lost revenue.
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