Newell Brands announced a global productivity plan that includes a workforce reduction of about 10% and the closure of select Yankee Candle stores.
Newell management said the plan is designed to strengthen the company’s competitiveness and agility, deliver greater value for consumers and drive long-term value creation.
Newell reported it will reduce its global workforce by more than 900 employees (about 10% of its professional and clerical employees), with limited impact on manufacturing or supply-chain operations. Professional and clerical layoffs in the United States are largely expected to occur this month, with international actions continuing through 2026, subject to local law and consultation requirements, according to Newell.
“We’ve made meaningful progress executing our strategy and strengthening Newell Brands, but there is more work to do,” said Chris Peterson, Newell Brands president and CEO. “This productivity plan is about taking the next, disciplined step to enhance efficiency, sharpen our strategic focus, and deliver stronger, more consistent performance. Ultimately, our goal is to deliver greater value for consumers and create sustained long-term value for our shareholders.”
Building on the company’s turnaround strategy launched in 2023, Newell said, the productivity plan will raise performance standards, simplify processes, streamline overhead and redirect resources to the highest-value activities. The plan, the company added, is enabled in part by its use of automation, digitization and artificial intelligence to simplify operations, accelerate decision-making and strengthen execution across functions. These initiatives will enable Newell to further invest in innovation, brand building and growth in a dynamic consumer environment, the company noted.
As part of this effort, Newell Brands will close approximately 20 Yankee Candle stores in the United States and Canada, representing roughly 1% of brand sales. The store closures, expected to take effect in January 2026, align the brand’s footprint with “modern consumer shopping behaviors” and support its multi-channel growth strategy, according to Newell.
Newell reported it expects to record pre-tax restructuring and related charges of approximately $75 million to $90 million, primarily for severance and related costs, with most of the charges to be recognized by the end of 2026. Once fully implemented, the productivity plan is expected to generate annualized pre-tax cost savings of approximately $110 million to $130 million, the company said.
