October 4, 2011

Starbucks wants to see more people working

The people running Starbucks - with 17000 stores in 55 countries - have run out of patience and wants to create a fund to stimulate the creation of more jobs in the US. This Monday, Starbucks created the fund "Create Jobs for USA" together with Opportunity Finance Network - OFN. OFN is a group of private financial institutions that provide affordable loans to low-income people and communities. So far, Starbucks have donated $5 million to the fund.

The idea came from Howard Schultz who is CEO of Starbucks. Howard Schultz thinks that small businesses are an engine for job growth, but currently these small businesses can´t access enough credit. And if they can´t access enough credit, they can´t hire unemployed people. He thinks that the politicians in Washington are not doing enough to help small businesses. Earlier in August this year, Howard Schultz wanted to withhold campaign donations to the president and members of Congress until a deal on the US debt, revenue and spending was reached.

People visiting Starbucks can contribute and donors who give $5 or more will get a wristband inscribed with the word "Indivisible." And thanks to fractional reserve banking, every $5 donation will generate $35 in financing for small businesses, nonprofit groups, commercial real estate projects and affordable housing.

Source: Reuters