“For more
than three decades, Starbucks had a storied history of being a great place to
work, of ethically sourcing and roasting the highest quality coffee beans” The above quote comes from the inside cover of “Onward” by Howard Schultz (Starbucks CEO) . Ethical sourcing and roasting undoubtedly but
clearly not ethical enough to pay a single bean of UK Corporation Tax.
Thanks to
the way the business is structured and expenses apportioned (I don’t pretend to
understand the mechanics of their accounting and tax avoidance) they have not
paid one single penny in UK Corporation Tax. They allege that they made a loss
in the UK.
Don’t get me
wrong; what Starbucks have done is not illegal ! BUT it is
clearly immoral. Add this corporate behaviour to the following examples of how
to destroy trust:
·
Banks
who rigged the libor rate
·
MPs
who fiddled their expenses
·
News
of the World journalists who hacked into mobile phones unlawfully.
Organisations
exist in society and from a corporate social responsibility point of view
should look to give something back which generally Starbucks has been pretty
good at. But organisations if they want
our trust and custom need to behave ethically and what Starbucks has done falls
well short of the standards of acceptable behaviour.
I suggest, that if we as consumers demonstrate our
abhorrence to this type of behaviour by taking our patronage elsewhere this
will focus the minds of brands on how they should conduct their affairs.
I could go on roasting Starbucks ….. . This
morning I had a business meeting and whilst my tipple was the usual latte the
venue wasn’t. You’re going to have to show a lot of contrition and a new
behaviour to win my custom back and not become a has bean!
PS I’m not ignoring Google or Amazon
who appear to have underpaid UK Corporation Tax allegedly
No comments:
Post a Comment