Yankee Candle owner resorts to layoffs, store closures
Newell Brands, which runs Yankee Candle, Rubbermaid, Elmer’s and other names, will lay off 900 people, about 10% of its global professional and clerical staff. U.S. cuts begin this month and those abroad will continue through next year, the company said Monday.
In January the company will close about 20 Yankee Candle stores in the U.S. and Canada, which deliver about 1% of the brand’s sales. Most of the company’s 240 or so retail stores, including 230 in the U.S., are Yankee Candle locations; 90% are leased.
The plan is expected to generate annualized pre-tax cost savings of some $110 million to $130 million, though it will entail $75 million to $90 million in severance and related costs until the end of next year.