Lead

Starbucks Korea will close all of its more than 2,000 stores nationwide early on Monday, June 22, for mandatory employee training on historical awareness and social sensitivity, following a promotional campaign that sparked widespread public outrage for evoking the 1980 Gwangju pro-democracy uprising. The move marks the first time the coffee chain has ended operations early nationwide since opening its first outlet in 1999, as reported by Yonhap News Agency.

Coverage Comparison

The Guardian reported that the stores will close at 3 p.m. for staff to watch recorded lectures on modern Korean history and engage in "social sensitivity" training, with the half-day closure estimated to cost the company 2.1 billion won ($1.4 million) in lost sales, according to data firm IGAWorks. The South China Morning Post noted that the closure will last for half a day and that staff will attend a history lesson, describing the promotion as having "gone awry." Yonhap News Agency, in two separate reports, confirmed the early closure and added that Shinsegae Group Chairman Chung Yong-jin and other senior executives will also participate in the same training program on Wednesday, June 24.

Key Claims

  • Starbucks Korea will close all 2,160 stores at 3 p.m. on June 22 for employee training focused on historical awareness and social sensitivity, according to Yonhap News Agency. The South China Morning Post reported the closure as "for half a day" next week.
  • The training program will consist of a brand value workshop designed to enhance employees' understanding of historical awareness, social sensitivity, and the values and mission that Starbucks seeks to uphold, a company official told Yonhap.
  • Shinsegae Group Chairman Chung Yong-jin and other senior executives will undergo the same training, Yonhap reported. The Guardian added that the training is scheduled for June 24.
  • The curriculum covers major events in contemporary Korean history and how companies should account for historical and social sensitivities in marketing decisions, The Guardian reported.
  • The controversy stems from a "Tank Day" promotion launched on May 18, the anniversary of the 1980 Gwangju uprising. The promotion offered discounts on "Tank" tumbler sets with the phrase "Put it on the table with a sound of 'Tak!'" Yonhap reported that the event was suspended within hours after drawing widespread public criticism.
  • The word "tank" evoked memories of the military's violent suppression of pro-democracy demonstrators during the Gwangju uprising, and the word "Tak" drew criticism for reminding people of student activist Park Jong-cheol, who died under police torture in 1987, according to Yonhap.
  • The Guardian reported that the Gwangju massacre is a painful memory for many, with victims' groups saying hundreds were killed. The South China Morning Post cited the official toll of 165 civilians killed in the uprising, while noting that many believe the real figure to be much higher.
  • The Guardian reported that the promotion led to store boycotts, customers smashing Starbucks mugs and tumblers, and government ministries cutting ties with the chain. It also noted that payment volumes plunged 26% in the week after the controversy, with signs of partial recovery in early June.
  • Yonhap reported that police are questioning Yang Jong-hwan, the head of Shinsegae Group's audit team, over allegations that Starbucks Korea insulted victims of the 1980 Gwangju pro-democracy movement. Police are expected to seek search and seizure warrants to secure mobile phone data that Shinsegae's internal inspection was unable to obtain.

Perspectives

Starbucks Korea / Shinsegae Group

The company has framed the closures and training as a measure to demonstrate the seriousness with which it views the incident and to prevent a repeat of similar controversies, according to The Guardian. A company official told Yonhap that the program aims to enhance employees' understanding of historical awareness and social sensitivity. Shinsegae Group said its internal probe found no evidence of deliberate intent to mock the Gwangju movement, but acknowledged limitations, citing some officials' refusal to submit phones for digital forensics, as reported by Yonhap.

Police and Activists

Police are investigating whether the promotion insulted victims of the Gwangju movement, Yonhap reported. The South China Morning Post noted that activists held rallies calling for a boycott of Starbucks in Seoul, placing stickers on images of Chairman Chung Yong-jin. The Gwangju uprising remains a painful memory for many, and the promotion was widely seen as insensitive, according to multiple reports.