Jenny Craig Tells Employees It Is Closing Down For Good: Report

Weight Loss Brand Jenny Craig Warns Of Large-Scale Layoffs, As It Searches For A Buyer

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After forty years of helping Americans lose weight, Jenny Craig told its employees the company is closing down for good, according to NBC News.

The company emailed all its employees on Tuesday (May 2) night and told them the decision to shut down was made "due to its inability to secure additional financing." Hourly employees were told their last day was Tuesday, while corporate and salaried employees were told they had until Friday to clear out their offices.

The company runs about 500 company-owned and franchised stores in the United States and Canada, employing roughly 1,000 people.

Last week, Jenny Craig responded to reports that it was planning mass layoffs and said it was working to transition to an e-commerce model as it tried to sell the company.

"Like many other companies, we're currently transitioning from a brick-and-mortar retail business to a customer-friendly, e-commerce-driven model. We will have more details to share in the coming weeks as our plans are solidified," the company said last week.

There was no indication in the email sent to employees that the company is still moving forward with those plans.


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