Starbucks Workers Vote to Authorize Strike Amid Last Bargaining Session of the Year

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Starbucks Workers United announced on Tuesday that 98% of union baristas have voted to authorize a strike as they push for a contract with the coffee giant. The vote marks a significant escalation in the ongoing negotiations between the union and Starbucks, which have been fraught with disputes over labor conditions.

Final Bargaining Session of 2024

Bargaining delegates are scheduled to return to negotiations with Starbucks on Tuesday for the last scheduled bargaining session of the year. Both sides are aiming to agree on a “foundational framework” that will set the stage for future discussions. Despite spending hundreds of hours at the bargaining table throughout 2024, the union says that there is still no comprehensive package addressing key issues such as barista pay and benefits.

Unresolved Issues

While both Starbucks and the union have put forward numerous tentative agreements, the union emphasized that hundreds of unfair labor practice cases remain unresolved. The strike authorization vote underscores the growing tensions between the two sides. Relations had briefly improved in late February when both parties agreed to a “constructive path forward” through mediation, but the recent strike vote signals a return to a more adversarial stance.

Starbucks’ Response

Starbucks CEO Brian Niccol, who took the reins of the company in September, has committed to bargaining in good faith. Niccol announced on Monday that the company would double its paid parental leave starting in March. However, baristas are reportedly set to receive a smaller annual pay hike next year due to a sales slump at U.S. locations.

The Union Movement

Since the first union elections in Buffalo three years ago, more than 500 Starbucks cafes have voted to unionize under Workers United. The company’s resistance to the unionization effort has drawn criticism from some lawmakers and consumers, further intensifying the national debate over labor rights and corporate practices.

 

Congo Files Criminal Complaints Against Apple Over Use of Conflict Minerals

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The Democratic Republic of Congo (DRC) has filed criminal complaints against Apple subsidiaries in France and Belgium, accusing the tech giant of using conflict minerals in its supply chain. The legal actions, initiated by Congo’s government, allege that Apple’s operations indirectly support armed groups involved in severe human rights abuses, including massacres and rapes, in the country’s mining regions. Congo, a major source of tin, tantalum, and tungsten—referred to as 3T minerals—has long struggled with violent conflicts fueled by the competition for its mineral resources.

Legal Allegations and Apple’s Response

The complaints, filed on Monday to the Paris prosecutor’s office and the Belgian investigating magistrate’s office, accuse Apple France, Apple Retail France, and Apple Retail Belgium of various offences. These include covering up war crimes, laundering tainted minerals, handling stolen goods, and deceptive commercial practices aimed at assuring consumers that its supply chains are free of conflict-tainted minerals.

Apple has denied the allegations, emphasizing that it does not directly source primary minerals. The company claims it audits its suppliers, publishes findings, and funds initiatives to improve mineral traceability. In its 2023 filing to the U.S. Securities and Exchange Commission, Apple stated that none of the smelters or refiners in its supply chain had financed armed groups. However, Congo’s lawyers argue that Apple’s reliance on minerals that have been illegally extracted and funneled through international supply chains makes the company complicit in the ongoing abuses.

The Role of Conflict Minerals in DRC

The Eastern DRC has been the epicenter of brutal conflicts since the 1990s, driven largely by competition for valuable minerals. Armed groups use the proceeds from mineral exports to fund their activities, which often involve violence and smuggling, particularly through neighboring Rwanda. Congo’s legal team highlights that despite Apple’s participation in industry efforts to ensure traceability, some of its suppliers still source from regions controlled by armed groups. Congo’s complaints also mention ITSCI, a certification scheme designed to monitor and certify mineral supply chains, which Congo believes has been discredited due to its failure to properly track minerals from conflict zones.

Judicial Pursuit and International Attention

The complaints against Apple are the first criminal legal actions filed by the Congolese state against a major tech company over the issue of conflict minerals. The filings have drawn significant attention, especially given Belgium’s historical connection to Congo during the colonial era, which adds a moral dimension to the case. Christophe Marchand, a Belgian lawyer representing Congo, emphasized Belgium’s responsibility in helping address the ongoing pillaging of Congo’s resources, a practice dating back to King Leopold II’s colonial rule.

Apple’s use of the ITSCI certification scheme has also come under scrutiny. The Responsible Minerals Initiative (RMI) suspended ITSCI in 2022, citing concerns over its inability to provide accurate reports on high-risk mining sites amid escalating violence in Congo’s North Kivu province. While Apple has continued to reference ITSCI in its filings, it did not address the suspension or the criticisms surrounding it.

Broader Industry Context

The complaints also align with broader international concerns about the use of minerals from conflict zones in consumer electronics. In March, a U.S. federal court dismissed a lawsuit by private plaintiffs that sought to hold companies like Apple, Google, and Microsoft accountable for their reliance on child labor in cobalt mines in Congo. The ongoing legal challenges underscore the growing pressure on tech giants to ensure that their supply chains do not contribute to human rights violations or fuel conflict.

Future Developments

The outcome of these criminal complaints will depend on whether the French and Belgian judicial authorities decide to investigate the allegations and bring charges. The complaints represent an important step in Congo’s ongoing efforts to address the exploitation of its resources and the international companies that benefit from them.

 

BHP and Rio Tinto to Develop Low-Carbon Iron Pilot Plant in Western Australia

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BHP and Rio Tinto have announced plans to jointly develop a pilot plant aimed at producing low-carbon iron from Pilbara ores in Western Australia, marking a significant step in decarbonizing the global steel industry. The announcement, made in a joint statement on Tuesday, highlights the companies’ commitment to advancing sustainable practices in steel production.

Project Details and Technology

The new facility, located in the Kwinana industrial hub of Western Australia, will incorporate renewable energy and use Direct Reduced Iron (DRI) technology in an Electric Smelting Furnace (ESF) to produce molten iron. The pilot plant is expected to have an annual output of 30,000 to 40,000 tonnes of iron. If successful, this approach could lead to near-zero greenhouse gas emissions in iron and steel production, positioning Australian iron ore as a key resource for decarbonizing global steelmaking.

This project is critical as the steel industry is responsible for approximately 8% of global carbon emissions, largely due to the conventional methods used in iron ore smelting.

Collaboration with BlueScope and Woodside

The pilot project, which was initially announced in February as part of a broader effort to reduce emissions in the steel sector, will now proceed with finalised details including the location and output forecasts. The facility will be developed in collaboration with BlueScope Steel, a leader in the steelmaking industry.

Woodside Energy, a major energy provider, will also join the project as an equal equity participant and energy supplier, subject to final commercial agreements. This partnership, named NeoSmelt, is designed to leverage advanced technologies and renewable energy to significantly reduce emissions from steel production.

Timeline and Future Plans

The pilot plant is set to enter its feasibility study phase in Q2 2025, with a final investment decision expected by 2026. If the project proceeds as planned, operations are anticipated to begin by 2028. The companies are optimistic that the success of this initiative could pave the way for a broader shift toward sustainable steel production globally.

This collaborative effort aims to meet the growing demand for steel while contributing to global decarbonization goals, especially in industries like infrastructure and the net-zero energy transition, where steel is a key material.