As the year comes to a close, manufacturers are looking closely at their operations and making tough decisions to cut their workforces. Some say they are taking these actions in response to tariffs while others see these moves as a strategic play in the era of artificial intelligence and automation.
These are some recent layoff announcements across the industry.
Algoma Steel layoffs surpass 1,000 workers after receiving public funds
Ontario, Canada-based producer Algoma Steel is moving forward with plans to close its blast furnace and coke-making operations in early 2026 due largely to tariff-related issues, CEO Michael Garcia wrote in a statement Tuesday.
The move is expected to affect more than 1,000 workers in Sault Ste. Marie, labor union United Steelworkers said in a statement Thursday. The job losses come six months after the United States imposed 50% tariffs on Canadian steel and aluminum. The tariffs effectively closed off a major market for Algoma and made its “traditional blast-furnace steelmaking no longer viable,” Garcia wrote.
In response, the company is accelerating its transition to electric arc furnace steelmaking — which uses electricity to melt scrapped metal and is considered less carbon emissions-intensive than traditional blast furnaces — reshaping its product mix for Canada’s customers.
“Algoma has had to make the very difficult decision to conclude its long history as an integrated steelmaker…one year earlier than we had anticipated or planned” as part of its accelerated transition to EAF, Garcia said in a statement.
The steelworkers union criticized the move, saying there should have been some worker assurances with the Ontario and Canadian governments to avert such a “sudden decision to slash jobs and devastate families.”
This year the governments committed a combined 500 million in Canadian dollars to support Algoma with its transition to EAF production during a trade war. The financing was completed Nov. 17.
Sharpie maker cuts more than 900 jobs as part of turnaround plan
Sharpie and Yankee Candle maker Newell Brands on Monday announced plans to reduce its global workforce by 10%, affecting more than 900 employees, as part of a broader productivity strategy.
The Atlanta-based manufacturer said professional and clerical separations in the United States will occur this month, with international cuts continuing through next year. It added that there will be “limited impact on manufacturing or supply chain operations,” but offered no specifics.
“We’ve made meaningful progress executing our strategy and strengthening Newell Brands, but there is more work to do,” President and CEO Chris Peterson said in a statement.
As part of the effort, Newell Brands is also closing 20 Yankee Candle stores across North America beginning in January 2026. The affected stores account for roughly 1% of brand sales, according to the company.
Building on its turnaround strategy launched in 2023, Newell Brands said its productivity plan will raise performance standards, simplify processes and redirect resources to high-target areas. It is enabled in part by the company’s investment and use of automation and AI tools.
Newell Brands is expecting to incur pre-tax restructuring charges between $75 million and $90 million by the end of 2026 related largely to severance costs. The company said its productivity plan should generate pre-tax cost savings between $110 and $130 million once fully implemented.
Newell Brands generated $1.8 billion in sales during the quarter that ended Sept. 30, down more than 7% from last year. Net income improved to $21 million compared to a loss a year ago.
Renfro shutters Alabama apparel manufacturing plant
Apparel manufacturer Renfro Brands is closing a factory in Fort Payne, Alabama, at the end of the year, affecting 455 employees, according to a Worker Adjustment and Retaining Notification filing.
The layoffs are scheduled to take effect Dec. 27, according to the WARN list. The company notified the state of the decision Oct. 28.
Founded in 1921, Renfro Brands is a designer, manufacturer and marketer of socks, legwear and apparel, according to its website, including brands such as Dr. Scholl’s and Merrell.
In an emailed statement, Renfro Brands said it will consolidate its domestic manufacturing to Cleveland, Tennessee, where it will be “making investments and expanding” operations to create at least 75 jobs.
The company will continue to operate its warehousing and distribution facilities in Fort Payne and employees at the affected plant will receive priority consideration for new positions in Cleveland.
