ON BENEFITS: HOWARD SCHULTZ , Coffee Czar: Executive Chairman, Former CEO, Starbucks
In 1987, we had 11 stores and 100 employees and were already speaking about the need for a business to balance profitability and benevolence. Starbucks was one of the first American companies to give part-time workers comprehensive health insurance and equity in the form of stock options.
Back then our shareholders were very angry and concerned about dilution. I convinced them that we would be more profitable, more productive, by creating these benefits. When we made college tuition free a few years ago, I explained it wasn’t charity because investing in people is how we grow. I’m still trying to build the kind of company that my father never had a chance to work for; he held lots of blue-collar jobs, and I saw firsthand what being disrespected and devalued did to him. He had no loyalty to any employer because they showed no loyalty to him.

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