Starbucks to Provide 'Free' Education from ASU Online

Many of us value the benefit an education provides from an individual perspective. Companies and organizations also value education as part of the recruitment of talent and to fulfill specific roles within the organization. Hiring the best and brightest often leads to innovation and growth.

However, have you thought of offering free education to thousands of your workers as a form of innovation? Well, Starbucks has done just that! Of course there are many companies that offer tuition reimbursement as a benefit to their full time workers. This new program from Starbucks goes even further. Let's better understand the benefit, then break it down into why it creates an advantage for Starbucks and their employees.

Program Specifics: (From the NY Times)

• The program is open to any of the company’s 135,000 United States employees, provided they work at least 20 hours a week and have the grades and test scores to gain admission to Arizona State.
• The employees must work for a Starbucks owned store (not licensed ones you see in some supermarkets).
• For a barista with at least two years of college credit, the company will pay full tuition; for those with fewer credits it will pay part of the cost, but even for many of them, courses will be free, with government and university aid.

Many companies offer reimbursement for job related courses and education. Often times there are some reasonable limitations such as - the full cost not being paid, new or part time employees being excluded, requiring that workers stay for a time afterward the program is complete, or limiting the program to only job-related courses.

Howard Schultz believes offering this program will add to the value of the brand, the reputation and the Starbucks business in general. He feels it will lower attrition, increase performance, and attract and retain better people.

The program is being offered based on research conducted with their employees. Surveys revealed that 70% of employees do not have a degree, but would like to earn one. The findings were reviewed by the CEO, where it struck a chord since he grew up with a 'modest background'. It then created the desire to put this program in place for Starbucks employees.

Well kudos to Starbucks - let's hope their employees take advantage of this program and that Starbucks gains the benefits it is counting on.