Newell Brands, the company behind household names like Yankee Candle and Sharpie, is confronting a severe financial downturn. Its stock has dropped by 62% this year, and mounting trade tariffs have pushed costs to over $180 million—nearly double earlier projections. The company is now taking drastic steps to stabilize its operations amid a turbulent retail climate.
Workforce Reductions and Store Closures
Newell Brands is preparing to cut 900 jobs across the U.S. and Canada, representing 10% of its professional and clerical staff. This move is part of a broader global productivity plan announced on December 2, 2025, which also includes the closure of 20 Yankee Candle stores. The job cuts will be most pronounced in the U.S., with layoffs beginning in December 2024. The store closures, while accounting for only 1% of Yankee Candle’s total sales, signal a strategic shift away from physical retail and toward more profitable channels.
Impact on Legacy Brands
Yankee Candle, founded in 1969 and acquired by Newell Brands in 2015, has long been a fixture in American homes. With about 240 stores nationwide, the brand’s presence is deeply woven into many communities. The planned closures and workforce reductions mark a turning point for a company that has weathered decades of change. The financial strain from tariffs and declining sales has forced Newell to reevaluate its operations, putting the future of this iconic brand in question.
Industry-Wide Pressures
Newell’s struggles reflect broader challenges facing the consumer goods sector. Other major brands are also cutting jobs and closing stores as tariffs and shifting retail trends take their toll. The pressure to remain competitive is driving even established companies to rethink their strategies. Inflation, changing consumer habits, and the rise of e-commerce are reshaping the industry, pushing companies to adapt or risk falling behind.
Leadership and Restructuring
Chris Peterson, CEO of Newell Brands, is leading the company through this period of upheaval. He has stressed the need for discipline and efficiency as Newell implements its restructuring plan. The goal is to save $110–130 million annually through layoffs, store closures, and a focus on more profitable channels. Analysts are divided on the long-term effectiveness of these measures, with some seeing them as necessary for survival and others concerned about the impact on innovation and workforce morale.
The Human and Economic Toll
The job cuts and store closures will have a profound effect on employees and the communities they serve. Many of those affected have worked for Newell for years, and the layoffs will disrupt lives just as the holiday season approaches. The economic impact will extend beyond the company’s corporate offices, affecting families and local economies. As Newell navigates these changes, it must also comply with labor laws in both the U.S. and Canada, setting precedents for other companies facing similar pressures.
Looking Ahead
Newell Brands’ future will depend on its ability to balance cost-cutting with innovation. The productivity plan is a critical first step, but the company must continue to adapt to a rapidly changing retail environment. The broader implications of trade tariffs and shifting consumer behavior will shape the industry for years to come. Newell’s experience serves as a cautionary tale for other legacy brands, highlighting the need for agility and resilience in an increasingly digital world.
Sources
CBS News – “Yankee Candle maker Newell Brands to close stores and lay off workers” (December 1, 2025)
Yahoo Finance – “Newell Brands Announces Global Productivity Plan to Increase Profitability” (December 1, 2025)
USA Today – “Newell Brands announces 900 layoffs, 20 Yankee Candle store closures” (December 1, 2025)
The Street – “55-year-old iconic candle company closing stores, layoffs pending” (December 2, 2025)
MarketWatch – “Newell Brands Cuts Outlook As Tariffs Raise Costs” (October 31, 2025)
Boston Globe – “Newell Rubbermaid buying Yankee Candle parent Jarden Corp for $13.2 billion” (December 14, 2015)
