Shiseido Americas Plans Major Layoffs amid Sharp Sales Decline

Shiseido Americas, the U.S. subsidiary of Japan’s Shiseido Group, is undertaking a “wide‑ranging and significant” workforce reduction following a steep sales slump across 2024 and into 2025. Interim CEO Alberto Noé warned staff in an internal memo that business performance “declined significantly through 2024,” and that the 2025 outlook “remains bleak,” prompting the difficult decision to eliminate roles across multiple locations and functions .

Shiseido has about 2,000 employees in the Americas, spanning headquarters in New York and facilities in Ohio, Texas, Florida, and Canada . While the company has not released an exact figure, it acknowledged that numerous colleagues will be affected and that impacted employees will receive support during their transition .

The layoffs are tied to a sharp contraction in sales, with American revenues dropping by 19% in Q1 2025. Leading the decline was Drunk Elephant—an acquired skincare brand—which saw U.S. sales plunge approximately 60–65% year-over-year, dragging overall profitability downward . Additional pressures include softening demand in the U.S., weak travel-retail sales in China, and broader macroeconomic uncertainties such as inflation .

Despite the adverse outcome, interim CEO Noé emphasized that Shiseido Americas is undergoing this “business transformation” to restore growth and profitability . He reaffirmed the company’s appreciation for departing employees and promised transitional support .

This move aligns with a broader trend of restructuring within the beauty industry: Estée Lauder cut some 7,000 jobs earlier this year, Coty eliminated around 700 positions in April, and L’Oréal has reportedly considered consolidations in China.