Jenny Craig seems to be reducing weight.
The load-loss firm warned staff to hunt different employment alternatives because it prepares for probably large layoffs.
The non-public equity-owned firm mentioned it doesn’t know “whether or not any staff could also be retained” because it begins preparations to shut its bodily operations, in inner communications obtained by NBC Information.
“We have no idea the precise staff/teams that will probably be impacted, and if any staff could be retained. Because of this, we’d advocate that you just anticipate that your employment could also be affected and start in search of different employment, Tuesday’s doc titled “Jenny Craig Firm Transition FAQs” mentioned.
Though Jenny Craig’s coverage is to pay severance pay based mostly on staff’ degree of labor and time with the corporate, future laid-off staff might not obtain any pay.
Based on the doc, “Right now, it’s extremely unlikely that these will probably be paid.”
A number of staff informed NBC Information they had been not too long ago notified of attainable job losses as the corporate continues to seek for a purchaser.
Jenny Craig, which was based in Australia in 1983, issued “warning notices” – as required by federal regulation – for its areas the place 50 or extra staff may very well be affected by potential layoffs, but in addition mentioned That each one staff are more likely to be affected. One way or the other” within the FAQ doc.
The federal WARN Act requires employers with 100 or extra staff to provide staff two months’ advance discover of a attainable layoff or office closure.
The corporate additionally mentioned within the paperwork that it has been “going via the sale course of over the previous few months.” Bloomberg Regulation reported final month that Jenny Craig was searching for potential consumers because it grappled with “money circulation pressures.”
The California-based firm was purchased by HIG Capital, a $55 billion non-public fairness agency, in April 2019 for an undisclosed quantity, in line with NBC Information.
On the time, the corporate operated roughly 500 areas – each company-owned and franchised – within the US and Canada.
Bodily shops provide clients personalised weight loss plan plans and consultations with trainers, in addition to prepackaged meals that promise weight reduction. An unnamed worker informed the outlet that his crew was informed to cease accepting new shoppers at his location.