L’Oréal to Cut Travel Retail Beauty Workforce in China Amid Sales Decline
L’Oréal is preparing to lay off up to half of its travel retail beauty workforce in China as the company responds to a sharp slowdown in duty-free cosmetics and personal care sales. The post L’Oréal to Cut Travel Retail Beauty Workforce in China Amid Sales Decline appeared first on Global Cosmetics News.
THE WHAT? L’Oréal is preparing to lay off up to half of its travel retail beauty workforce in China as the company responds to a sharp slowdown in duty-free cosmetics and personal care sales.
THE DETAILS The layoffs, not yet formally announced, are expected to affect up to 50% of the travel retail team, with some employees reportedly receiving “n+5” compensation packages (years of service plus five months’ salary).
THE WHY? The deterioration of China’s travel retail market, triggered by declining domestic consumption, a weaker yuan, and increased overseas shopping, has forced L’Oréal to restructure its operations. With offshore duty-free sales in Hainan plunging nearly 30% year-on-year in 2024, L’Oréal’s beauty brands — including Lancôme, YSL Beauty, Armani Beauty, and Prada Beauty — have been directly impacted. While L’Oréal continues to invest in China’s broader beauty ecosystem, it is adapting to a changing market where consumers are prioritizing quality, value, and emotional connection over price.
The post L’Oréal to Cut Travel Retail Beauty Workforce in China Amid Sales Decline appeared first on Global Cosmetics News.
