Philz Coffee criticized by employees, customers, for decision to remove Pride flags

Philz Coffee, the San Francisco-based chain that has a location in Evanston, has ordered store managers to remove Pride flags from all its stores, a move facing backlash from employees and customers.
Philz has 75 locations nationwide, with one in Evanston at 1030 Davis St. and five in Chicago. On Sunday, employees confirmed that they were told by management on Friday to remove the Pride flag that hung on a wall inside the store. The employees said they were also banned from speaking to the media.
According to news reports, Philz CEO Mahesh Sadarangani sent a confidential letter to employees saying the company was removing “a variety of flags and other decor” in order to create “a more consistent, inclusive experience across all our stores.
Philz, founded in 2003, has been known for its handcrafted drip coffee and its embrace of gay culture, exemplified in its “Unity Collection” of merchandise and coffee benefitting queer organizations. The company also hosts an annual celebration and fundraisers for LGBTQ+ causes, including scholarship donations. Despite that history, many employees and customers were upset with the decision to remove the Pride flags from stores.
A petition started by a Philz Coffee Baristas group had more than 5,800 signatures as of Sunday evening. Locally, many took to an Evanston-themed Reddit page to express their dismay, saying they wanted to take their business to independently owned shops instead.
A screenshot of comments from people on a Envanston-based Reddit page about Philz Coffee’s decision to remove Pride flags from its stores.
The backlash was more than just online. On Friday in the chain’s hometown, dozens of protesters demonstrated outside a Philz Coffee location in the Castro neighborhood, a longtime hub of LGBTQ+ culture. Many appeared to blame Los Angeles-based private equity firm Freeman Spogli & Co. for the decision. The private equity firm acquired Philz Coffee last year in a $145 million deal.
While employees at the Davis Street location said they were banned from speaking to the media, they indicated that most customers were likely not yet aware of the decision — which seemed to be the case when the RoundTable asked several customers in the crowded shop.
Representatives from Philz Coffee and Freeman Spogli & Co. could not be reached for comment.




