BEAUTY chain Estée Lauder is planning on cutting up to 2,000 jobs, as well as closing 15% of its shops and counters.
The retailer is the latest business to propose job cuts after struggling during the coronavirus crisis.
Estée Lauder says it plans on cutting up to 2,000 workersCredit: Reuters
Estée Lauder owns a number of high street make-up brands including Aveda, Bobbi Brown, Clinique, DKNY, La Mer, Tom Ford, and M.A.C.
In a financial update today, Estée Lauder says it expects to axe between 1,500 and 2,000 roles globally, or around 3% of its workforce.
It added that these cuts will mainly impact shop staff and other roles that were disrupted by Covid-19.
The beauty chain is also in talks to close between 10% to 15% of its shops and counters worldwide.
Estée Lauder hasn’t said how many UK jobs or stores will be affected – we’ve asked the retailer for more information.
The retailer owns concessions in stores such as Boots, Debenhams and House of Fraser.
Job losses since June 2020
MANY firms have announced job cuts since June as a result of the coronavirus lockdown. These include:
- Shoe chain Aldo collapsed into administration with five stores permanently closed
- Victoria’s Secret plunged into administration, putting 800 jobs at risk
- Fashion chain Quiz put its shop business into administration in , putting 82 stores at risk
- British Gas owners cuts 5,000 jobs, over half of which will be in management
- Airbus announces 1,700 job losses. It expects cuts to be made by summer 2021
- TM Lewin says it will close all 66 of its UK shops, putting 600 jobs at risk
- Harveys Furniture goes into administration resulting in 240 immdiate job losses and puts another 1,000 at risk
- Upper Crust plans to make 5,000 out of its 9,000-strong workforce redundant
- EasyJet says it plans to close hubs at Stansted, Southend and Newcastle, putting 4,500 jobs at risk
- John Lewis is reported to be planning to cut jobs and permanently close department stores
- Harrods has said it is consulting on cutting 680 jobs
- Virgin Money, which owns Clydesdale and Yorkshire Bank, will cut 300 jobs
- Topshop owner Arcadia has announced plans to cut 500 office staff
- Royal Mail is expected to cut 2,000 jobs as a result of coronavirus
Estée Lauder, which employs 45,000 people worldwide, says the job cuts and store closures are part of its “Post-COVID Business Acceleration Programme” .
In total, the business says it aims to save between $300million (£228million) and $400million (£304million) through the measures.
It’s unclear if these will be affected by the jobs cull.
Estée Lauder chief executive, Fabrizio Freda, said: “In this new fiscal year, we remain focused on the safety and well-being of our employees and consumers.
“Through the Post-COVID Business Acceleration Program announced today, we are better aligning our brick-and-mortar footprint to improve productivity and invest for growth.”
A staggering 43,000 high street roles have been axed so far since the beginning of lockdown – see a full list in the box above.
Marks and Spencer has announced plans to cut 7,000 shop floor workers.
Debenhams is also reported to be drawing up plans for liquidation which could put “up to 14,000 jobs at risk”.