Starbucks suspends vaccine, test requirement after U.S. court ruling

Reuters

Published Jan 19, 2022 01:07PM ET

(Reuters) - Starbucks Corp (NASDAQ:SBUX) suspended COVID-19 vaccine-or-test requirement for U.S. employees that had been mandated by the government, according to a memo sent to workers on Tuesday, following an adverse U.S. Supreme Court ruling.

The coffee giant had said earlier this month it would require its around 220,000 U.S. employees to be fully vaccinated against COVID-19 or undergo weekly testing.

The U.S. Supreme Court last week struck down Joe Biden administration's vaccination-or-testing mandate for large businesses, ruling that the policy overstepped executive authority.

"We respect the court's ruling and will comply," Starbucks Chief Operating Officer John Culver wrote in a memo to workers.

The move follows a similar decision from industrial conglomerate General Electric (NYSE:GE) Co.

More than 90% of the company's workers have already disclosed their vaccination status, with a vast majority fully vaccinated, according to the memo.