Starbucks' CEO Brian Niccol to commute 1,600 km to work via corporate jet

Brian Niccol's employment contract provides a corporate jet for his daily 1,600 km commute, requiring him to work from Starbucks' Seattle office at least three days a week

Imagine starting your workday with a cup of Starbucks coffee in California and wrapping it up nearly 1,600 km away in Seattle — all before dinner.

For Starbucks' new chief executive officer (CEO), Brian Niccol, this will be the norm as he embarks on a daily commute like no other. Despite living in sunny California, Niccol is set to clock in at the company's Seattle headquarters, traversing the West Coast via corporate jet as part of his unique journey to the office.

A high-flying agreement?

Niccol's employment agreement includes the provision of a corporate jet for his daily commute. Despite the long distance, the Starbucks CEO must work from the Seattle office at least three days a week due to the company's hybrid work policy, which has been in effect since 2023.

At 50 years old, Niccol will earn a base salary of $1.6 million annually. In addition to this, he could receive a cash bonus between $3.6 million and $7.2 million, contingent on his performance. He also has the opportunity to earn up to $23 million in annual equity awards.

This commuting setup isn't new for Niccol. When he became CEO of Chipotle in 2018, he negotiated a similar agreement. Shortly after he took on the role, Chipotle relocated its headquarters from Colorado to California.

CNBC quoted a Starbucks spokesperson as saying, “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.”

Flexibility for top executives

Flexible work arrangements are often negotiated by top-level executives who possess considerable bargaining power. For example, Hillary Super, the CEO of Rihanna's lingerie brand Fenty x Savage, secured a deal that allows her to work from New York City, rather than relocating to Victoria’s Secret’s headquarters near Columbus, Ohio.

However, this level of flexibility is not available to all CEOs. Amazon’s Andy Jassy and JPMorgan Chase’s Jamie Dimon are both strong proponents of bringing employees back to the office.

The specific reasons for Niccol’s remote work agreement are tied to Starbucks' recent challenges. Under former CEO Laxman Narasimhan, the company has seen a decline in sales in its largest markets, the US and China, this year.

Niccol’s new role carries significant expectations due to his proven ability to turn companies around. During his tenure at Chipotle, the company's stock reportedly surged by 773 per cent.