Franchise News

Starbucks Grapples With Ransomware Attack, Employee Schedules Affected

| By

This photograph shows the logo of US multinational company Starbucks on a building facade in Paris, on October 16, 2024. GREGOIRE CAMPIONE/AFP via Getty Images

Starbucks is dealing with the fallout of a ransomware attack on a third-party software provider, which has disrupted its ability to manage employee schedules and track work hours.

The company assured its staff on Monday that all employees will be compensated for their hours despite the temporary disruption.

The attack targeted Blue Yonder, a supply-chain management software vendor used by Starbucks to manage its workforce operations, according to CBS News. The November 21 breach has forced Starbucks store managers and baristas to resort to manual methods for tracking hours and handling schedules.

Although the scheduling platform remains offline, Starbucks confirmed that customer service has not been affected, and its cafes continue to operate as usual.

Blue Yonder, an independent subsidiary of Panasonic, acknowledged the ransomware attack and stated that it is actively working to restore its systems. The company emphasized its implementation of defensive and forensic protocols to address the breach but did not disclose who was responsible for the attack.

Starbucks Navigates Ransomware Crisis

As ransomware incidents surge globally, Starbucks joins a growing list of companies affected by cyberattacks in 2024. More than 2,300 ransomware incidents have been reported this year, according to the Office of the Director of National Intelligence, marking it as one of the worst years on record.

Starbucks has pledged to resolve the issue with Blue Yonder as quickly as possible and is offering guidance to store leaders on managing operations manually. The Wall Street Journal first reported the impact of the cyberattack on Starbucks.

According to The Wall Street Journal, the coffee giant reiterated its commitment to its employees, stating, "We are ensuring all baristas receive pay for their hours worked during this disruption and continue to focus on serving our customers without interruption."

Despite the challenge, Starbucks has maintained its operations smoothly, prioritizing both employee welfare and customer satisfaction.

© 2024 Franchise Herald. All rights reserved.

Franchise News

Real Time Analytics