Estée Lauder on Tuesday announced plans to cut thousands of jobs and speed up its product development to reclaim relevance in higher-end beauty, after the company swung to a quarterly loss and offered a dimmer outlook amid wobblier shopper sentiment in Asia.

Estee Lauder will lay off between 5,800 and 7,000 employees after second-quarter sales plummeted 6% and operating income tanked to a $580 million loss.

Estee Lauder now intends to slash up to 7,000 positions from its workforce, the cosmetics company, known for brands like Mac and Clinique, announced Tuesday.

A restructuring plan is underway to kick-start sales after the conglomerate reported a 6 per cent sales dip in Q2.

The cosmetics company has been struggling with weak demand, especially in Asia.

Estee Lauder said it’s expanding its restructuring plan to include job cuts anywhere from 5,800 to 7,000 by fiscal 2026 as the global beauty company tries to boost sales and profits

Cosmetics company Estée Lauder (EL) announced a major restructuring plan that aims to cut 5,800 to 7,000 jobs, or up to 11% of its workforce.