Human Resources and Manufacturing

Amway cutting 50 jobs

February 19, 2020
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Amway employees treated after disinfectant leak
Amway’s global headquarters is in Ada. Courtesy Amway

Amway is eliminating 50 marketing and research and development jobs as it concludes the companywide restructuring that began in 2018.

The Ada-based direct-selling company confirmed to the Business Journal today it is “making adjustments to its marketing and R&D organizations,” resulting in the elimination of 50 positions in West Michigan, where its workforce totals about 3,000.

“These changes are the last in a series that began in 2018 as part of a comprehensive review of Amway’s global organizational structure to ensure resources are aligned with strategic priorities,” said Anna Bryce, Amway spokesperson.

“While Amway will always continuously evaluate global operations to ensure investments and resources are aligned for growth, these changes conclude this particular global structure review.”

The layoffs represent the fourth wave of cuts since December 2018 with about 210 of those taking place from May 2019 through this month.

Overall, the reductions amount to about 2% of Amway’s global workforce, which is currently at about 15,000 employees, according to Bryce.

She said Amway is offering severance pay, continued health insurance, career transition services and counseling services to affected employees.

“Moving forward, Amway will invest in key areas of the business to help Amway business owners (ABOs) be even more successful in today’s marketplace,” she said. “We are focused on providing ABOs and customers the best possible experience, and that includes investing in new digital, data and analytics platforms; high-performing products; and support and training to help ABOs build skills for selling, especially through social media.”

Amway’s sales figures for 2019 have not yet been released, but the company reported $8.8 billion in revenue for the year ending Dec. 31, 2018, an increase from $8.6 billion in 2017.

Amway saw several consecutive years of sales declines since 2013, when it reached an all-time high of $11.8 billion in revenue. Sales were at $10.8 billion at the end of 2014, $9.5 billion in 2015 and $8.8 billion in 2016.

The company’s annual sales figure includes revenue from direct-selling operations and other business holdings.

Amway has several brands: Nutrilite vitamin, mineral and dietary supplements; Artistry skincare and color cosmetics; eSpring water treatment systems; and XS energy drinks — all sold exclusively by Amway independent business owners.

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