By Trendsetter Tribune 
Newell Brands will cut 900 jobs and close 20 Yankee Candle stores as part of a $90 million restructuring. The Sharpie maker faces tariffs, inflation, and declining consumer demand.
Newell Brands, the company behind iconic products like Sharpie and Yankee Candle, announced Monday it will cut 900 jobs, about 3.8% of its global workforce, and close approximately 20 Yankee Candle stores in the U.S. and Canada. The closures represent roughly 1% of the candle brand’s sales and are expected to be completed by January 2027.
The company said the restructuring will result in pre-tax charges between $75 million and $90 million, with the costs recognized by the end of 2026. The plan is expected to generate annualized cost savings of $110 million to $130 million, according to Newell.
Economic Pressures Weigh on Consumer Goods Giant
Like many consumer goods companies, Newell has faced inflation-driven weak demand and rising tariff-related costs, which have strained profitability. The company now expects fourth-quarter net sales to decline toward the upper end of its previously forecasted range of 1% to 4%, citing slower-than-expected recovery in Latin America sales.
Newell has been working to revive its sales over the past two years, but challenges persist. The company previously cut its profit forecast in October and reported a wider decline in annual sales than anticipated. Shares have fallen 63% year-to-date, reflecting investor concerns over the company’s turnaround strategy.
Jobs and Impact on Workforce
The job cuts primarily affect professional and clerical employees, around 10% of that segment globally. With a workforce of roughly 23,700 employees worldwide as of December 31, 2024, the layoffs represent a significant move in the company’s ongoing efforts to streamline operations.
“This restructuring is necessary to position Newell for sustainable growth,” the company said in a statement. Affected employees will receive severance and support, though the closures and reductions underscore the difficult economic environment facing consumer goods companies today.
What This Means for Investors and Consumers
The restructuring highlights Newell’s efforts to cut costs and refocus on profitable operations, but it also signals ongoing pressures from tariffs, inflation, and shifting consumer behavior. Investors will be watching whether these changes stabilize the company’s finances or signal further challenges ahead.
For consumers, store closures may reduce access to certain products, particularly for Yankee Candle fans, while broader changes could affect product availability and service levels across Newell’s portfolio.