Good news for parents of Starbucks employees in China: The company is now offering health insurance that will likely benefit around 10,000 elderly people.
According to Bloomberg, the company aims to uphold the traditional filial piety values in China and give older people the “safety net” as they age. Starbucks’ plan will supplement China’s current Social Medical Insurance Program and will cover 30 common critical illnesses.
The strategy emerged after the company found out that 70% of their employees who applied to an internal financial assistance program were worried about their aging parents’ health. Those who are single were primarily concerned whether they could afford to care for their parents in the event sickness struck them.
“Supporting critical illnesses for aging parents exemplifies what we believe is our responsibility as a global public company and honors the family values deeply-rooted in the Chinese culture,” said Howard Schultz, Starbucks’ executive chairman.
According to Fortune, CEO of Starbucks China Belinda Wong said that this new investment is a way to show that they are aware of their responsibilities and extends it by helping their partners take care of their parents.
Employees who have worked for the company for at least two years and with parents who are younger than 75 can apply for the health insurance. Starbucks plans to start their health insurance offer this June.