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Starbucks Corporation CORPORATE SOCIAL RESPONSIBILITY ...

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Focusing on healthcare and Wellness<br />

<strong>Starbucks</strong> remains committed to providing healthcare<br />

benefits to eligible full- and part-time partners, despite rapidly<br />

rising costs. <strong>Starbucks</strong> U.S. and Canada healthcare plans are<br />

self-insured, which means healthcare providers are paid with<br />

<strong>Starbucks</strong> funds, as well as the money our partners personally<br />

contribute toward their coverage. In fiscal 2006, we did<br />

not increase healthcare premiums to partners. <strong>Starbucks</strong> is<br />

working in a variety of ways to ensure the continuation of our<br />

health coverage plan, and assist our partners in their efforts to<br />

reach and maintain their optimal health.<br />

Outreach to Newly Covered Partners<br />

In fiscal 2006, <strong>Starbucks</strong> began testing a novel outreach<br />

effort to newly enrolled partners. Partners receive a welcome<br />

call from our health plan administrator who can answer<br />

questions about their health coverage – from how to select<br />

a physician to how to find weekend or after-hours care. This<br />

approach is being tested in 10 locations in the U.S. We hope<br />

to find that through a simple welcome call we can improve<br />

partners’ health, and encourage efficiencies in the use of<br />

healthcare resources.<br />

Thrive Wellness Initiative<br />

<strong>Starbucks</strong> commitment to the health and wellness of our<br />

partners – and our customers – is evident in many of our<br />

programs and policies. One very direct effort to care for<br />

our partners’ health is the Thrive Wellness Initiative, which<br />

combines education, communication and participation to<br />

help our partners live healthy lives. Over 15,000 partners have<br />

registered on the Thrive website since its inception. Below are<br />

some of the components of the program.<br />

• A web-based health risk assessment that creates a personal<br />

“health map” for each partner.<br />

• Online programs for fitness, smoking cessation and<br />

improvement of eating habits.<br />

• Health club discounts at contracted fitness facilities.<br />

• Partner Connection subsidies for up to 50 percent of<br />

fees for clubs or sports teams that include three or more<br />

active partners.<br />

• Anti-slip work shoes at a discounted price online to help<br />

reduce the risk of slip and fall injuries.<br />

Kinetix, the newest benefit in the Thrive Wellness Initiative,<br />

was piloted in fiscal 2006 and launched in October 2006<br />

at no cost to partners in our support offices in Seattle,<br />

Washington, the location of <strong>Starbucks</strong> global headquarters.<br />

Kinetix is a comprehensive wellness program that teaches<br />

proper nutrition and exercise through an interactive website,<br />

classes and workshops, an eight-week session with a personal<br />

trainer and phone and e-mail support to keep partners on<br />

track to reach their personal fitness goals.<br />

W O R K P L A C E<br />

Advocating for Healthcare Reform<br />

Rising healthcare costs and other challenges of providing<br />

healthcare benefits have led <strong>Starbucks</strong> to advocate for a more<br />

affordable and efficient U.S. healthcare system. For the past<br />

several years, we have focused our efforts on building public<br />

awareness about the seriousness of escalating healthcare costs,<br />

and seeking reform of the healthcare system generally.<br />

In fiscal 2006, we worked to become more strategic in<br />

our efforts. First, we analyzed the greatest challenges that<br />

<strong>Starbucks</strong> faces in delivering affordable, accessible healthcare.<br />

We then identified the following areas where we will focus<br />

efforts: access, technology, innovation, quality and lifetime<br />

solutions. In fiscal 2007, we will highlight specific initiatives<br />

in these key areas. Through our efforts, we hope to alleviate<br />

healthcare challenges for <strong>Starbucks</strong> and our partners, and<br />

all other U.S. companies and employees whose healthcare<br />

benefits are threatened.<br />

My <strong>Starbucks</strong> –<br />

Sean Couture, a <strong>Starbucks</strong> store<br />

manager in Williston, Vermont, saw<br />

golf as a great team-building activity<br />

for fellow partners and managers<br />

in his region, but wondered whether<br />

the expensive golf fees could be put<br />

to better use. When Sean learned<br />

about <strong>Starbucks</strong> Partner Connection<br />

program, he found a way to combine<br />

his passion for golf with his desire to<br />

bring together a group of partners<br />

for camaraderie and a good cause.<br />

Sean formed a <strong>Starbucks</strong> Partner<br />

Connection Golf Team and put out a<br />

call to the three stores in his region,<br />

asking partners if they’d like to join. For<br />

their first outing, the team participated<br />

in a Muscular Dystrophy Cornerstone<br />

Cup Tournament that raised a total of<br />

$12,000 for the Muscular Dystrophy<br />

Association (MDA). In addition to<br />

contributing half of the team’s entry<br />

fees, <strong>Starbucks</strong> also donated cups and<br />

coffee to the event. The team has teed<br />

up for other good causes including the<br />

local Chamber of Commerce and Chill, an<br />

intervention program for disadvantaged<br />

kids. According to Sean, “Once you get a<br />

team set up, it’s easy. It’s a great way<br />

for partners to get to know each other<br />

better, get closer, feel more like a team<br />

and also contribute to a great cause.”

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