Newport Beach-Whittier Daily News

By Daniela Sirtori | Bloomberg

Starbucks’ newly appointed CEO Brian Niccol will not have to move to the company’s Seattle headquarters when he takes office next month.

The new CEO has agreed to commute to the coffee chain’s headquarters and travel if necessary to do his job, the company said in a statement on Wednesday.

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His current employer, Chipotle Mexican Grill, is based in Newport Beach, where Niccol moved the headquarters from Denver when he took over as CEO in 2018. Chipotle executives estimated at the time that consolidating the West Coast locations would cost $70 million to $80 million.

And that’s where Niccol will stay until Starbucks funds the establishment of a branch about 1,000 miles from Seattle.

The ability to work from home is becoming increasingly common for CEOs and was part of the package Starbucks used to recruit Niccol to the struggling restaurant chain. His compensation includes a $10 million cash bonus and an annual salary of $1.6 million.

Since the beginning of last year, Starbucks employees have been required to work in the office at least three days a week. This measure has sparked strong reactions from some employees.

Niccol’s primary office will be at the company’s Seattle headquarters, according to a Starbucks spokesperson. The company will also cover housing expenses for up to three months while he finds a second home in Seattle, the filing said.

If Niccol decides to move to the Seattle area, he will be eligible to receive reimbursement for certain relocation expenses. He will assume the CEO position on September 9.