Newell Launches Productivity Plan Enabled by AI, Digitalization Efforts
Newell Brands, which manufactures brands such as Yankee Candle, Paper Mate and Elmer's, will undergo a corporate restructuring as part of efforts to become a leaner, more agile organization.
The approach builds on Newell's turnaround strategy, which launched in 2023, to streamline the business so it can redirect funds to higher-value activities and investments, strengthened by ongoing work with automation, digitization and artificial intelligence.
Through this, the company plans to simplify operations, accelerate decision-making and strengthen execution across functions.
“We’ve made meaningful progress executing our strategy and strengthening Newell Brands, but there is more work to do,” Chris Peterson, president and CEO, said in a statement. “This productivity plan is about taking the next, disciplined step to enhance efficiency, sharpen our strategic focus and deliver stronger, more consistent performance."
The global productivity plan will result in 900 employee layoffs (approximately 10% of professional and clerical staff). The company said this will have a limited impact on its manufacturing and supply chain operations.
Also, Newell Brands will close an estimated 20 Yankee Candle stores in the U.S. and Canada in January 2026, representing about 1% of brand sales. This move reflects the company's multi-channel shift as it looks to better meet modern consumer shopping behaviors.
The productivity plan is expected to yield an estimated $110 million to $130 million in cost savings.
