Newell Brands will cut 900 jobs, or 3.8% of its global workforce, and take up to $90 million in restructuring charges, the Sharpie maker said on Monday.
The company will also close about 20 Yankee Candle stores in the U.S. and Canada, collectively representing roughly 1% of brand sales of the scented candles, by January next year.
Consumer goods companies such as Newell have struggled with tariff-related costs as well as weak consumer demand due to inflation and economic uncertainties.Â
Newell expects to record a pre-tax charge of about $75 million to $90 million as part of the restructuring; the charges are set to be recognized at the end of 2026.
The company said the latest job cuts affect about 10% of its global professional and clerical employees. As of December 31, 2024, Newell employed about 23,700 people worldwide in total.
The restructuring effort is expected to bring in annualized cost savings of about $110 million to $130 million, the company said.
It now expects the decline in fourth-quarter net sales to be toward the upper end of its prior forecast range of 1% to 4%, as Latin America sales are improving at a slower rate than expected.Â
In October, the company forecast a wider decline in annual sales than previously expected and cut its profit forecast, citing the impact from tariff costs and sluggish demand.
Newell has been in the midst of a turnaround over the last two years as it struggles to revive sales. Its shares are down 63% this year.
(Reporting by Koyena Das and Juveria Tabassum in Bengaluru; Editing by Sahal Muhammed)
