Neutrogena is completely closing its Los Angeles workplace as father or mother Kenvue Inc. consolidates operations to New Jersey.
The closure is leading to 84 layoffs, in line with a employee notification doc considered by Bloomberg Information. Of these workers, 74 have been supplied relocation and employment at different firm areas.
Kenvue, which owns client manufacturers corresponding to Tylenol, and Aveeno, is shifting its headquarters to a renovated workplace constructing and newly constructed analysis and growth facility in Summit, New Jersey. The corporate is presently based mostly in Skillman, New Jersey.
Closing the workplace is a part of Kenvue’s effort to spice up development and enhance collaboration, a spokesperson mentioned in an emailed response to questions from Bloomberg. “Choices that impression our workers are by no means simple.”
Neutrogena gained reputation within the ‘80s and ‘90s, and was acquired by Johnson & Johnson in 1994. It benefited from the consumer-health large’s deep advertising pockets and product-development prowess. Extra just lately, nevertheless, the model has faltered amid provide shortages which have prompted retailers to take Neutrogena gadgets off the cabinets and substitute them with merchandise from rivals corresponding to CeraVe and Hero. Kenvue was spun off from J&J final yr.
Neutrogena’s struggles have weighed on Kenvue’s outcomes, with the father or mother reporting an 8 % drop in natural gross sales for its pores and skin well being and sweetness section in the newest quarter. Kenvue inventory has declined 6.8 % this yr and eight.8 % from its preliminary public providing final Might.
Kenvue can also be dismissing 51 workers at its present headquarters in Skillman, New Jersey, this spring, and says different elements of the enterprise are additionally being restructured.
By Leslie Patton
Be taught extra:
Compete With CeraVe and The Atypical
Shoppers have pivoted to cheap, drug retailer skin-care manufacturers like CeraVe and The Atypical and located they’re simply pretty much as good as higher-end rivals.