On Wednesday, Starbucks expressed regret for displaying a notice in a store that restricted the senior citizen 20% discount.
At a Ways and Means House Committee hearing, Starbucks’ Operations Director Angela Cole acknowledged the company’s mistake and assured immediate action to remove signs that restricted the discount for seniors to just one food item and one beverage.
She clarified that the signs were made after our staff requested guidance on applying for discounts. Under Republic Act No. 9994 and Republic Act No. 10754, senior citizens and persons with disabilities are entitled to a 20% discount and are not charged the 12% value-added tax on certain goods and services.
On Monday, Speaker Martin Romualdez, who called for an investigation into the sign issue, emphasized that these benefits for individuals should be unrestricted as long as they’re for personal use.
“It was an error, our signage was not properly worded so we acknowledge our mistake, and we are really disappointed at the confusion that we have caused,” Cole told lawmakers. “The guideline … was never followed, and we remain steadfast in ensuring that we extend the privileges as intended in all our stores throughout the Philippines.”
Starbucks sorry for limiting senior citizen discount
Subsequently, Starbucks released an apology for the event and promised its patrons that it would continue to grant discounts from the government on all orders of food and drinks, which are reserved for the happy use of senior citizens, individuals with disabilities, and other qualified persons.
Joey Salceda, leading the House’s tax policy committee, urged Starbucks to admit its error and consider giving a free drink and croissant to elderly and disabled patrons for one day.
“Sorry is not enough,” Salceda said. “This is a violation and therefore this is a case. You know Filipinos are just forgiving, but what I want from you is an exemplary action from you that shows you are really repentant over what you did.”
He warned that he might send a letter to Rustans Coffee Corp, the authorized representative of the famous coffee chain, demanding meaningful action rather than mere words. The representative from Albay also announced his panel’s plans to explore corrective measures or rules to clarify and address the discrepancies in enforcing senior citizens’ and PWDs’ discount laws.
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