Amway announced it will be restructuring its operations and laying off up to 900 of its employees who work in Buena Park, California and in Ada, Michigan, where the company’s headquarters are located. Layoffs will first be carried out through a voluntary separation plan, which will offer incentives like financial and healthcare benefits to those who choose to leave voluntarily.
“We announced to U.S. employees that as we invest even more in nutrition science, innovation and manufacturing, and in delivering seamless social, shopping and customer experiences to help our Amway business owners around the world grow and thrive, we will also be restructuring our operations,” the company said. “This restructure includes the reduction of up to 900 roles in Ada and Buena Park, California. It is our hope to achieve as much of this as we can through voluntary departures, and we will offer generous terms that align to our values, treating all employees with openness, dignity and respect.”
Majority of the layoffs will come from Amway’s Ada-based workforce, which currently totals almost 3,000 employees. As part of the restructuring plan, the company plans to make West Michigan its global center for nutrition manufacturing.
“Since Rich DeVos and Jay Van Andel founded Amway 60-plus years ago, we have been focused on helping people live better, healthier lives, and now we are investing even more in our wellness portfolio—in science, innovation, manufacturing—while also improving our digital capabilities,” Amway CEO Milind Pant said in a statement. “It is a difficult business reality that this kind of change doesn’t come without affecting people—people we love dearly who all passionately believe in what we do to support entrepreneurs all over the world.”
Layoffs are expected to take place through the end of 2021, but some employees will remain through 2022.
