The parent of retailer Yankee Candle is closing 20 of its stores in North America and laying off 900 corporate employees to create up to $130 million in cost savings.
Atlanta-based Newell Brands — the owner of not only Yankee Candle but also household names such as Sharpie, Rubbermaid, Paper Mate and Oster — on Monday said it was taking the steps as part of a turnaround strategy it launched in 2023.
As part of this effort, Newell Brands said it will shutter roughly 20 Yankee Candle stores in the United States and Canada that collectively “represent roughly 1% of brand sales.” Those closings are slated to happen in January.
“This retail optimization aligns the brand’s footprint with modern consumer shopping behaviors and supports its multi-channel growth strategy,” Newell Brands said in a statement.
South Deerfield, Massachusetts-based Yankee Candle is the largest specialty brand of premium scented candles in the United States.
Newell Brands didn’t respond to an email from CoStar News asking how many stores Yankee Candle has, but CoStar data puts its retail fleet at 283 locations.
Newell Brands said its cost cutting includes reducing its global workforce by over 900 employees, or roughly 10% of its professional and clerical employees, “with limited impact on manufacturing or supply chain operations.”
Layoffs in the United States are slated to take place in December, with “with international actions continuing through 2026, subject to local law and consultation requirements,” according to the company.
“This productivity plan is about taking the next, disciplined step to enhance efficiency, sharpen our strategic focus, and deliver stronger, more consistent performance,” Chris Peterson, Newell Brands president and CEO, said in a statement.
The company expects to record pretax restructuring and related charges of about $75 million to $90 million, primarily for severance and related costs, with most of the expenses to be recognized by the end of 2026. Once fully implemented, the productivity plan is expected to generate annualized pretax cost savings of approximately $110 million to $130 million.
Newell Brands said its ultimate goal is to streamline overhead and redirect resources to the highest-value activities, using automation, digitization and artificial intelligence to simplify operations, accelerate decision-making and strengthen execution across functions.