Yankee Candle has been around for 55 years and sits on shelves in almost every home goods store. Now its parent company, Newell Brands, is announcing major changes that will affect both shoppers and workers.
The company is cutting jobs and closing stores, but the exact details are still coming out. This timing couldn’t be worse as it’s right when people are buying holiday gifts and decorations. Workers and communities are waiting to find out which locations will close and who will lose their jobs.
Layoffs Wave Grows
2025 has become one of the worst years for job losses since the financial crisis. Challenger, Gray & Christmas, a firm that tracks layoffs, reported that companies cut more than 150,000 jobs in some months this year. This creates real stress for families heading into the holidays.
Workers face the double hit of holiday expenses piling up while jobs disappear. This wave affects retail workers, office staff, and people in many industries, leaving uncertainty across the job market.
Candle Icon’s Rise
Yankee Candle started in Massachusetts in the late 1960s as a small candle maker. Over decades, it became a major chain with stores across America and products sold in Target, Walmart, and specialty shops. In 2016, Newell Brands bought the company as part of a bigger deal.
This meant Yankee Candle became part of a huge corporation that also owns Rubbermaid, Sharpie, Coleman, and Mr. Coffee. That decision tied the candle brand’s future to a much larger company’s strategy and financial pressures.
Pressures on Scented Retail
Yankee Candle has faced challenges in recent years. Customers are spending less on home goods, tariffs are making products more expensive, and new competitors keep entering the market. Newell Brands’ recent financial reports show sales dropped 7 percent compared to last year, even though the company cut costs to save money.
Management warned investors that more restructuring is likely coming. This pressure pushed the company to announce layoffs and store closures as a way to protect profits during uncertain times.
Closures And Cuts Revealed
The announcement came in early December 2025. Newell Brands will eliminate more than 900 professional and office jobs worldwide. Additionally, roughly 20 Yankee Candle stores in the U.S. and Canada will shut down starting in January 2026.
The company says this will cost $75 million to $90 million upfront in severance and shutdown expenses. However, Newell expects to save $110 million to $130 million every year once everything is finished. For the company’s bottom line, it’s a trade-off: spend money now to save money later.
North American Footprint Hit
The 20 closures represent a small portion of Yankee Candle’s overall retail presence in North America. However, Newell Brands hasn’t publicly announced which specific locations will shut down, leaving workers and communities guessing.
Company executives call this a retail optimization, basically, they’re closing stores in places where customers now prefer to shop online or at other retailers. The company hasn’t explained its decision-making process, so people in affected communities are still waiting for clarity and answers.
People Behind The Numbers
The layoffs will hit hardest on office and clerical workers, many based in Newell’s headquarters in the U.S. Several hundred Yankee Candle store employees will also be affected as locations close. The timing makes it worse, people are losing jobs as they face holiday bills and family obligations.
Severance packages will help some workers, but job hunting during the winter months is harder. The company’s decision to announce these cuts in December, rather than earlier in the year, adds stress to an already difficult situation for affected workers and their families.
Competitors And Channels
The home fragrance business is packed with competitors like Bath & Body Works, Target’s house brands, and online sellers. Many rivals have already shifted their focus to e-commerce and partnerships with big retailers rather than maintaining their own stores. Experts note that Newell’s decision to close underperforming Yankee Candle stores reflects this bigger trend.
Companies are betting that online sales and wholesale partnerships will replace old-fashioned mall-based specialty stores. Yankee Candle must now figure out how to keep customers loyal without the in-store experience they’re famous for.
Layoffs In A Wider Slump
Newell’s restructuring fits a much larger pattern sweeping through American business. Tech companies, retailers, and manufacturers are all cutting jobs to protect profits. Higher borrowing costs, tariffs, and cautious consumers are squeezing company earnings.
Challenger, Gray & Christmas reported that 2025 is on pace to be the worst year for announced layoffs since 2009. What makes this harder is that unemployment rates look moderate, but jobs are actually harder to find once you lose one.
Savings Trump Short-Term Pain
The company is banking on the idea that cutting 900 jobs and closing stores now will create lasting profits later. Newell predicts minimal impact on its manufacturing plants and supply chain operations, meaning most cuts come from office and retail jobs.
In other words, the company is choosing to absorb short-term pain in hopes of a much leaner, more profitable business down the road. Management believes this strategy will satisfy investors and strengthen the company’s financial position for years to come.
Internal Friction And Morale
Any massive job cut damages morale among employees who survive the layoffs. Even though Newell frames these cuts as part of a global productivity plan, remaining staff will inherit extra work and worry about more job losses. Investors often cheer aggressive cost-cutting, but that support comes at the expense of workplace stability and employee well-being.
Leadership’s Turnaround Vision
Chris Peterson has been leading Newell’s turnaround since 2023. His strategy focuses on simplifying the company’s structure, cutting debt, and using automation and artificial intelligence to improve efficiency.
The latest restructuring extends this vision, suggesting that leadership sees plenty of room to cut more costs before the company returns to steady sales growth. This is part of a longer-term plan that may include additional layoffs or closures in the future.
Protecting Production Lines
Newell emphasized that store closures and office layoffs should not disrupt manufacturing plants or supply chain operations. By concentrating cuts in office and retail roles, the company aims to protect its ability to produce and ship candles and other products at full capacity.
This approach may reassure wholesale customers and suppliers who depend on steady deliveries. However, the burden falls on office and retail workers to shoulder the restructuring while factories remain untouched.
Experts See Tough Job Hunt
Labor market experts warn that people losing jobs in this wave may take months to find comparable positions. Workers laid off in 2025 are experiencing longer unemployment spells than in recent years.
Midcareer professionals exiting Newell face a challenging landscape. Even with strong resumes and experience, the job market has cooled considerably.
Future Of The Candle Chain
The big question is whether closing 20 stores and cutting 900 office jobs is sufficient to turn Yankee Candle around. The brand still has strong name recognition and sells through multiple channels including online, wholesale, and retail partnerships.
However, if consumers keep spending less on home fragrance products, the company may need to make deeper cuts later. Analysts will monitor sales figures closely to see whether the restructuring succeeds or whether more drastic measures become necessary.
Policy And Tariff Crosswinds
Newell Brands repeatedly cited tariffs as a major headwind, estimating about $180 million in extra costs from tariffs in 2025 compared to 2024. When imported goods become more expensive due to trade policy, companies respond by cutting overhead and closing underperforming locations to protect profit margins.
This dynamic shows how government trade policies directly affect corporate restructuring decisions and worker layoffs. Tariffs make products more expensive to produce, leaving companies with tough choices. Do they raise prices, cut corners, or eliminate jobs and stores? Newell chose the latter path.
International Fallout
While most Yankee Candle store closures target North America, Newell’s broader restructuring includes job cuts in international markets throughout 2026. The company must follow local labor laws and consultation rules in each country, which may slow down or change the timing of layoffs.
Different nations have different protections for workers, meaning some countries may require longer notice periods or different severance amounts. This international complexity means Newell cannot execute all layoffs at once and that the process will unfold unevenly across different regions and markets over the coming year.
Legal And Compliance Guardrails
Executing hundreds of layoffs and closing stores triggers significant legal obligations. Companies must provide advance notice to workers, pay severance in many cases, and in some places, consult with unions. Newell’s estimated $75 million to $90 million in restructuring costs is largely tied to severance and legal compliance expenses.
State, provincial, and national laws all differ, which means Newell must customize its approach for each location. This legal framework adds time and money to the restructuring process but also protects workers by ensuring they receive notice and fair compensation.
Brand And Culture Questions
Yankee Candle built its reputation by letting customers visit stores and sample seasonal scents. This in-store ritual is core to the brand’s identity and customer loyalty. As physical locations shrink, the brand faces a critical challenge, can online descriptions and smaller shop-in-shop displays replicate that beloved experience?
The shift also reflects how younger shoppers discover products differently than older generations. A heritage retail brand must now prove it can thrive in a digital-first world. Success depends on whether Yankee Candle can maintain emotional connections with customers through digital and online channels.
What The Cuts Signal
Newell’s decision to cut over 900 jobs and close 20 Yankee Candle stores demonstrates that no brand is protected from efficiency drives. This move shows a broader corporate playbook: absorb short-term pain through layoffs and closures to achieve long-term recurring savings.
Investors often reward aggressive cost-cutting with higher stock prices, even when workers and communities suffer. How well Newell balances shareholder demands with community and worker impacts will shape whether Yankee Candle thrives or struggles in its next chapter.
Sources:
CBS News â âYankee Candle maker Newell Brands to close stores and cut 900 jobsâ â Dec. 2, 2025
TheStreet â â55-year-old iconic candle company closing stores, layoffs pendingâ â Dec. 3, 2025
Newell Brands â âNewell Brands Announces Third Quarter 2025 Resultsâ â Oct. 30, 2025
WFMJ â âYankee Candle closing 20 stores in restructuring planâ â Dec. 4, 2025
Fox Business â âNewell Brands to close Yankee Candle stores, cut jobsâ â Dec. 2, 2025