Beauty Industry, Mergers and Acquisitions

Estee Lauder Companies Plans to Cut Up to 7,000 Jobs

With forecasted third-quarter profits below expectations, ELC expands its restructuring plan.

Estee Lauder Companies may have plans to cut up to 7,000 jobs worldwide in the works—as part of its restructuring plan—by the end of 2026.

This is in response to low third-quarter financial forecasts. As of June 30, 2024, ELC had roughly 62,000 employees worldwide. The company just released its financial results for the second quarter of 2025.

In a company report, ELC states:

“The Company now estimates a net reduction in positions of 5,800 to 7,000, including approvals to date. This net reduction takes into account the elimination of positions after retraining and redeployment of certain employees in select areas.”

“Approvals for specific initiatives under this restructuring program, in total, are still expected to be completed by the end of fiscal 2026.”

See also: ELC’s Stéphane de La Faverie Announces Restructuring Plan & New Leadership

ELC expects restructuring and other changes of between $1.2 billion and $1.6 billion.

The company said this plan aims to “manage external volatility, such as potential tariff increases globally.”

According to Reuters, ELC shares dropped about 6% in premarket trading.