Monday, September 21 2026

Guangzhou Chali Group Exposed for Unpaid Wages for Months, Employees Say Provident Fund Deducted but Not Paid, Company Response Sparks Controversy

Recently, the well-known Guangzhou tea beverage company Chali Group has been exposed by multiple netizens for allegedly owing employee wages and housing provident fund contributions, sparking widespread attention. According to a report by Yangcheng Evening News, some employees reported that their salaries for August and September were long overdue, and although the personal housing provident fund portion was deducted from their wages, it was not actually paid. In addition, some job applicants claimed that the company conducted unauthorized personal credit checks on them. Although Chali responded that some of the information was untrue and said it had communicated with the poster and reached an agreement, discussions about the unpaid wages continue to intensify on social platforms, and the truth of the matter and subsequent developments are worth watching. [more…]

Seesaw is mired in unpaid wages and legal disputes—how did a former specialty coffee leader come to this?

Recently, a post on social media about Seesaw employees being owed wages and social security contributions has sparked widespread discussion. Chat records show that management admitted to operating difficulties and promised to pay salaries in installments, while key figures such as founder Wu Xiaomei and director Zhang Sai were also drawn into the discussion. In fact, Seesaw was already reported last year for issues such as delayed wages and suspended social security payments, and now it faces 19 judicial cases, with its last store in Chongqing also having closed. Although a new store in Changsha is still operating, this series of upheavals has led many coffee enthusiasts to lament: has the one-time benchmark of specialty coffee truly fallen into trouble? [more…]

All 11 Flash Coffee outlets in Singapore cease operations: a detailed breakdown of employee wage disputes and provisional liquidation

The coffee market continues to slump, and the wave of chain brand closures has spread from China to overseas. Flash Coffee, once dubbed by some media as Luckin's "knockoff," recently abruptly closed all 11 of its stores in Singapore and has become embroiled in disputes over unpaid employee wages and provisional liquidation. The brand had just completed a $50 million funding round, with investors including White Star Capital and Delivery Hero, claiming the funds would be used to improve profitability and accelerate Asia-Pacific expansion. However, less than six months later, news emerged of a creditors' voluntary liquidation, and labor unions also stepped in to address unpaid wages, CPF contributions, and the cashing out of unused leave. Flash Coffee promised to retain the Hong Kong market, but its Luckin-copying, cash-burning approach became unsustainable when funding faltered. This article outlines the sequence of events and key details. [more…]

Seesaw stores mired in wage arrears crisis: staff show up but can't serve drinks, forced to politely decline orders

Seesaw, once hailed as one of the representatives of specialty coffee, is now mired in operational difficulties due to unpaid wages. Although employees at its Shanghai IFC store report to work on time, the company's wage arrears and cut-off of supplies have made it impossible to prepare drinks, forcing them to post a notice in Chinese, English, Korean, and Japanese to politely decline customer orders. From unpaid supplier payments to labor arbitration by former employees, from the founder being repeatedly subject to consumption restrictions to more than sixty economic disputes, this former coffee star brand is experiencing an unprecedented crisis. Many loyal customers have expressed regret and lament, while others have called on the brand to handle employee rights and interests with dignity. [more…]

Former Employee at a HEYTEA Franchise Exposes Unpaid Overtime: Excess Hours Worked Without Overtime Pay, Instead Fined — Brand's Employment Standards Draw Attention

Recently, a former employee of a HEYTEA franchise store publicly shared on social media their experience of unfair employment treatment, quickly sparking heated discussion among netizens. The employee posted clock-in records and chat screenshots, pointing out that they had worked overtime for a long time without ever receiving overtime pay, but were instead deducted 700 yuan for being late, and the promised base salary did not match reality. More notably, the franchise store's autonomy in salary management made it difficult to protect employee rights, bringing the disparity in treatment between directly operated stores and franchise stores to the surface. This article summarizes the course of events and various viewpoints for reference by coffee industry practitioners. [more…]

Behind the Shrinking Hours of Luckin Part-Time Baristas: Strict Quality Control, Unpaid Overtime at Closing, and the Reality of a 2,000-Yuan Monthly Salary

Recently on social platforms, many part-time Luckin employees have posted about reduced shifts and monthly pay of only around two thousand yuan, drawing attention. After winter arrives, Luckin stores control part-time working hours, and it is not uncommon for only five hours to be scheduled in a day and only three or four days of work in a week. At the same time, Luckin baristas also have to face strict quality control inspections known as "nightmares," hand damage caused by frequent handwashing and sanitizing, and unpaid overtime of anywhere from a dozen minutes to an hour after closing. This article, based on real feedback from part-time employees, sorts through Luckin stores' quality control system, closing procedures, and part-time employment system, presenting a little-known side behind the barista position. Front Street Coffee also continues to pay attention to the real situation of workers in the coffee industry, providing enthusiasts with diverse perspectives. [more…]

A Tims store in Canada has been exposed: a manager allegedly urged a 17-year-old employee to enter a sham marriage in exchange for permanent residency, while another tip-off claims wages were as low as C$8.

Canadian national coffee brand Tims has recently become embroiled in a public opinion storm on social media. A store in Ontario was accused of a manager suggesting to a 17-year-old employee that they enter a "sham marriage" with the manager's 25-year-old Indian relative to help the latter obtain Canadian permanent residency, promising a payment of 15,000 to 20,000 Canadian dollars. After the individual refused, they resigned and made the chat records public. Local police and immigration authorities have intervened, and Tims headquarters is also investigating. Subsequently, more netizens revealed that after the store changed owners, it gradually dismissed local long-term employees and only hired people of a specific ethnicity, as well as issues such as a hourly wage of only 8 Canadian dollars at a downtown Toronto store and one and a half months of unpaid training, triggering widespread doubts among Canadians about Tims' employment practices and brand reputation. [more…]

Starbucks Accused of Over 500,000 Scheduling Violations in New York, Settles Labor Lawsuit for $38.9 Million

Starbucks is facing a labor law lawsuit over scheduling violations in New York City, with an investigation finding more than 500,000 violations of the Fair Workweek Law, ultimately resulting in a $38.9 million settlement. The case involved more than 15,000 employees, making it the largest worker rights settlement in New York City history. Starbucks was accused of failing to provide stable schedules, cutting hours, and refusing overtime, making it difficult for employees to make a living, while the company said the settlement was intended to ensure compliance rather than to recover unpaid wages. Front Street Coffee brings you the full story. [more…]

Seesaw Exposed for Owing Employee Wages, Founder Silent as Nationwide Stores Shrink to 49

Recently, coffee brand Seesaw was exposed for owing wages to about 75 employees in the Shanghai region, involving both store and back-office staff. Former employees reported that since late last year, wage payments have been irregular, and social security and housing fund contributions have also been suspended, while founder Wu Xiaomei has "read but not replied" to employees' demands. At the same time, Seesaw's nationwide store count has shrunk dramatically, with only 49 stores remaining, and some stores have closed due to material shortages and cut-off supplies of ingredients. This article reviews the course of the incident and the employees' experiences, and retains relevant recommendations from Front Street Coffee. [more…]

Starbucks and union negotiations fail, baristas in three major cities to launch strike this Friday

Labor negotiations between Starbucks and Workers United have once again reached a deadlock. The union has announced that it will launch strikes this Friday in Los Angeles, Chicago, and Seattle to protest unfair labor practices and low wages. Since its founding in late 2022, the union has covered more than 525 stores and over 11,000 baristas across the United States, with 98% of members voting to authorize a strike. Starbucks, for its part, responded that it has reached 30 agreements and promised to raise wages and benefits, but the union believes the economic proposal is still not rigorous. How this dispute will evolve is worth continued attention. [more…]

Milk tea shop community group buying involved in fraud with nearly 200 million in transaction flow; after the brand terminated cooperation, the store changed its sign and continued operating.

A bubble tea franchise store in Wuxi appears to run community group buys and membership top-ups on the surface, but behind the scenes it is suspected of large-scale fraud. Over a thousand local people have fallen victim, with transaction flows of nearly 200 million yuan, and even people in Shanghai, Zhejiang, Anhui and other places have been caught up in it. Even more surprisingly, the operator had compulsory measures changed because of pregnancy, and afterward continued to operate and keep selling low-priced products. The brand owner eventually announced the termination of cooperation and removed the signage, but the store changed its name and still opened as usual, and was still constantly hiring. What exactly is going on? What should ordinary consumers and job seekers pay attention to? [more…]

Luckin Coffee Stores Under the Takeout Subsidy War: Light Meal Defrost Volumes Double, Employees Trapped in Unpaid Overtime Predicament

Recent subsidy promotions on major food delivery platforms have brought consumers tangible savings, with many taking advantage of low prices to stock up on milk tea, coffee, and light bakery items. However, this seemingly win-win promotional feast has stirred up considerable unrest within Luckin Coffee stores. A large number of consumers flocked to stores to buy light food in bulk, directly causing a surge in the number of baked goods that staff need to thaw each night—work that once took just over ten minutes now takes more than half an hour. What leaves employees even more frustrated is that the company has not only canceled performance commissions on light food sales but also requires them to complete thawing tasks strictly according to procedure after closing, forcing many to work unpaid overtime. The cost of this delivery war seems to be quietly borne by frontline staff. [more…]

To cope with quality control inspections, Luckin employees frequently work unpaid overtime, leading to dissatisfaction over the mismatch between hours and pay.

In the coffee chain industry, standardized store operation management often brings additional execution pressure. Recently, some Luckin Coffee employees reported that in order to prepare for surprise inspections by the quality control department, night shift staff still have to stay after their regular shift to do deep cleaning, and if the inspection does not come the next day, the whole process must be repeated, with some even still busy in the store in the early morning. Since the March 31 incident, some stores have reduced staffing, and the closing tasks originally shared by two people have fallen on one person, yet overtime work rarely comes with corresponding overtime pay. In addition, the system keeps pushing clock-in reminders during off-duty hours, further increasing employees' anxiety. Some employees pointed out that when they leave their posts to count inventory, they are defaulted by surveillance as taking a break, causing their actual meal time to be invisibly encroached upon. Under the combined effect of various factors, unpaid overtime and working-hour calculation issues are becoming the main troubles for frontline employees. [more…]

Luckin employees complain about the cumbersome store-closing photo process; unpaid overtime triggers a wave of resignations.

Recently, a Luckin Coffee employee posted on social media complaining that the company's store-closing procedures are too cumbersome, requiring staff to take photos and videos to document materials, which leads to almost daily overtime without overtime pay. Multiple employees followed up confirming similar experiences, pointing out that the strict photo-taking is for food safety and shelf-life management, but the high frequency and insufficient staffing have intensified dissatisfaction. In addition, timeliness assessments also stretch employees thin. These issues have long been ignored by the company, leading to soaring employee resentment, rising turnover rates, and increasingly serious chain problems such as store understaffing and inadequate training. Luckin Coffee now has over 13,000 stores, and employees are calling on the company to face up to its management loopholes. [more…]

Cotti Coffee Closes 250 Stores in 90 Days: Franchisee Data Deceived, Subsidies Fail to Retain People, Founder's Forced Enforcement Deal the Final Blow

In the coffee sector, nearly 90,000 new stores have opened in the past year, with a net increase of over 48,000, and amid fierce competition, brands are rolling out various strategies. Cotti, which ranks third in store scale, however, chose to cross over into tea beverages in April, launching new milk tea and fruit tea products unrelated to coffee, which is puzzling—after all, it already owns the tea brand Chamao, which focuses on human-machine collaboration. Behind this strategy is the reality that franchisees are increasingly seeing no hope of profitability and are exiting to cut losses. A franchisee in Hubei reported that the foot traffic data provided during recruitment was severely inflated, and the data used by third-party assessment software was actually outdated from several years ago. The brand relied on these impressive figures to set a record of opening 7,000 stores in 14 months. Now, according to Jihai brand monitoring, Cotti has closed 250 stores in the past 90 days, equivalent to three per day, while Luckin, with more than twice the total number of stores, closed only 89 in the same period. Negative news such as salary cuts, layoffs, and the founder being forced to execute 3 billion yuan in debts has followed one after another, and franchisees are no longer willing to be mere also-rans. [more…]

Ethiopian regulators halt cooperation with Chinese coffee merchants over unpaid goods, affecting foreign exchange earnings

As Africa's largest coffee producer, Ethiopia is known for the floral and fruity aromas of its coffee beans, and in recent years it has become increasingly popular in the Chinese market. However, a recent report from local media has drawn attention: the Ethiopian Coffee and Tea Authority has decided to ban a Chinese coffee company from signing contracts with Ethiopian parties because it failed to pay its local exporter. This incident not only reflects payment disputes in China-Ethiopia coffee trade but also highlights the importance of coffee exports to the country's foreign exchange earnings. This article will review the course of events, the companies involved, and local regulatory measures, and revisit the popularity of Ethiopian coffee in the Chinese market. [more…]

Luckin Coffee's new full scan-to-close rule sparks employee discontent, with cumbersome operations and frequent system failures

At the end of July, Luckin Coffee introduced a new closing procedure called "full scan" within its store system, requiring employees to scan and log every item with an expiration date label in the store one by one fifteen minutes before closing, and repeat the process again on the next morning shift. This move sparked a flood of complaints from frontline employees on social media—already tight staffing was further squeezed, unpaid overtime hours continued to lengthen, and the new system frequently suffered recognition failures and abnormal error reports during scanning, turning this digital initiative aimed at managing shelf-life control into what employees see as a burdensome "white elephant" feature that only adds extra work. This article is compiled from Coffee Workshop and takes you through the specific operational process and the real voices of employees behind this controversy. [more…]

British coffee shop employee secretly swapped card machines to steal customer payments; court rules no compensation to shop for losses

Recently, the UK's Daily Mail exposed a case of theft by a café employee: a staff member, without the knowledge of either the owner or customers, secretly replaced the store's card machine with his own device while at work, diverting customer payments into his personal account. The scheme came to light when a customer noticed that a meal priced at £42.1 had actually been charged £94. Over several months, the employee stole approximately £4,000 in total, was arrested by police, and fired. However, the court ultimately sentenced him to 12 months of community service and 120 hours of unpaid work, with no prison time and no requirement to repay the café's losses, only a £200 fine. The case has drawn attention to the abuse of employee authority and the protection of consumer rights. [more…]

Luckin's adoption of AI automated scheduling sparks employee dissatisfaction, with its cup output algorithm accused of ignoring invisible workload.

Luckin Coffee recently launched an internal AI-based store scheduling system that collects historical business data to predict the daily staffing and working hours needed at each store, attempting to allocate existing manpower more efficiently. However, this seemingly scientific automatic scheduling has drawn widespread complaints from many Luckin employees. They point out that the system uses hourly cup output as its core reference only, completely ignoring a large amount of invisible work such as cleaning, ingredient preparation, and expiration checks, leaving baristas working alone exhausted and even forced to work unpaid overtime just to finish up. Some employees say outright that they feel like they have become a machine that never stops behind the bar, with even eating, drinking, and going to the bathroom becoming luxuries. This efficiency reform driven by algorithms is pushing frontline baristas to the brink of physical and mental exhaustion. [more…]

Luckin stores introduce smart tea machines, staff have mixed feelings: faster cup output but added cleaning burden

Luckin Coffee has recently rolled out a series of new products, including light milk tea and iced shaken drinks. As its product line continues to expand, the pressure on store staff for ingredient preparation and drink-making has also increased. Recently, reports have emerged that Luckin has piloted the "Rui Binfen - Smart Tea Machine" in some stores in Jiangsu and Zhejiang, which can automatically dispense ingredients according to recipes, saving the step of manual weighing. Employees have mixed reactions: some are delighted that it reduces physical exertion and speeds up drink output, while others worry that cleaning the machine daily takes about an hour and may involve unpaid overtime. In addition, the tea machine is quite large and has certain requirements for counter space and drink output volume, so not all stores can install it. This article compiles genuine feedback from frontline employees and details on equipment use, so coffee enthusiasts can learn about new developments in chain-brand store operations. [more…]