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Starbucks is laying off 612 employees from its Seattle headquarters this week as part of broader companywide job cuts affecting corporate positions.

According to a notice filed with on Thursday, more than half of the affected employees were based at Starbucks’ Sodo neighborhood headquarters. While employees were officially let go this week, the company will continue to provide pay and benefits through May 2.

The Seattle-based coffee retailer announced this week that it would reduce its corporate workforce by 1,100 employees and eliminate several hundred open positions. The layoffs do not impact cafe workers.

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Why the corporate layoffs in Seattle and across Starbucks?

In a letter to employees, CEO Brian Niccol described the layoffs as a “necessary change to position Starbucks for future success.” He stated that the restructuring aimed to “remove layers and duplication” within the corporate workforce while creating “smaller, more nimble teams.”

There are also changes coming to the Starbucks menu as part of larger efforts to streamline operations and cut wait times for customers as baristas work on either unpopular or convoluted orders.

Starbucks employs approximately 361,000 workers worldwide, with about 16,000 in corporate support roles, including roasting, manufacturing, warehouse and distribution employees, who were not affected by the layoffs. The company had approximately 3,750 employees at its Sodo headquarters as of 2023.

Related from Gee Scott: Starbucks layoffs could signal trouble brewing for the economy