Estee Lauder slashing up to 7,000 jobs as it braces for tariff increases
Estee Lauder slashing up to 7,000 jobs as it braces for tariff increases
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Beauty firm Estee Lauder has revealed it is more than doubling job cuts to as many as 7,000 worldwide as part of a cost-saving overhaul as it braces for tariff increases amid fears of a global trade war sparked by US President Donald Trump. The group behind well-known beauty brands Estee Lauder, Clinique and Jo Malone said it plans to ramp up job losses from 3,000 to between 5,800 and 7,000 as it seeks to drive savings of up to 1 billion US dollars (£805 million).
It said the figure was revised after taking account of some staff it is looking to retrain and redeploy in other roles. The jobs are set to go by the end of June next year. Estee Lauder said the move to slash more jobs and costs is partly down to concerns over possible tariff increases, which follow plans by Mr Trump to slap penalties on goods from Mexico, Canada and China. “The expanded plan is designed to further transform the company’s operating model to fund a return to sales growth and restore a solid double-digit adjusted operating margin over the next few years, and continue to manage external volatility, such as potential tariff increases globally,” a company spokesman said.
