Starbucks CEO Laxman Narasimhan Stepping Down

Starbucks announced Tuesday that its chief executive officer, Laxman Narasimhan, is stepping down after a little more than a year in the job.

The Seattle coffee giant said Brian Niccol, CEO of Chipotle Mexican Grill, would replace Narasimhan, who is leaving the company after just over a year at the helm.

Narasimhan's departure comes as Starbucks faces a number of challenges, including slowing sales growth, rising costs and increased competition. The company has also been grappling with labor unrest, with workers at dozens of stores voting to unionize in the past year.

In a statement, Starbucks said Narasimhan had "mutually agreed to part ways with the company." The company did not provide a reason for his departure, but said it was "effective immediately."

Narasimhan joined Starbucks in September 2022 from Reckitt Benckiser, where he was CEO. He was previously the chief commercial officer at PepsiCo.

Niccol has been CEO of Chipotle since 2018. He previously worked at Taco Bell and Pizza Hut.

Starbucks said Niccol will start his new role on April 1, 2023.