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Starbucks announced Monday that it will lay off 1,100 corporate workers and remove 30% of its menu items as part of a major effort to turn around its business and simplify operations.

The changes come after the company's sales have dropped for four straight quarters, the longest decline in years. Starbucks hopes these actions will help the company improve performance and reduce costs.

The company's new strategy includes cutting drinks that are either unpopular or difficult to prepare. In a statement, Starbucks explained that the items being removed "aren't commonly purchased, can be complex to make, or are like other beverages on our menu."

Some of the drinks that will no longer be available include the Iced Matcha Lemonade, Espresso Frappuccino, and the White Chocolate Mocha Frappuccino.

Additionally, the Royal English Breakfast Latte and White Hot Chocolate are also on the chopping block, CNN said.

The decision to reduce the menu is part of Starbucks' broader plan to streamline its processes. In recent years, the company has faced challenges with long wait times and high prices, which caused some customers to stop visiting.

At the same time, mobile orders have grown significantly, accounting for more than 30% of Starbucks' orders. This shift in customer behavior has placed added pressure on workers during busy hours.

Starbucks to Lay Off 1,100 Employees in "Back to Starbucks" Restructuring

The company also revealed that it will eliminate several hundred open and unfilled positions, in addition to the 1,100 layoffs. Starbucks emphasized that these cuts will not affect in-store employees like baristas or other support staff.

According to CBS News, the layoffs are part of a restructuring plan known as "Back to Starbucks," which aims to simplify the company's structure and improve efficiency.

Brian Niccol, who became Starbucks' CEO in August 2024, is overseeing these changes. Niccol, who was previously with Chipotle, has been brought in to lead a turnaround.

He stated that the company had moved too far into mobile orders, which he believes "took a lot of the soul" out of the brand.

Niccol's vision is to return Starbucks to its roots as a "community coffeehouse," where customers can relax and enjoy their drinks in-store rather than just picking up their orders quickly.

As part of this transformation, Niccol has also reinstated some older traditions at Starbucks, including allowing baristas to doodle on cups and bringing back self-serve milk and sugar stations. These efforts are meant to enhance the in-store experience and make it feel more personal for customers.

In a companywide memo, Niccol explained the need for the layoffs: "We are simplifying our structure, removing layers and duplication, and creating smaller, more nimble teams. Our intent is to operate more efficiently, increase accountability, reduce complexity and drive better integration."