Ulta Beauty to furlough retail store associates on April 19
In an update published on the company site at the end of March, CEO Mary Dillon stated, “we have decided our stores will remain temporarily closed until the time when we can safely re-open. With things changing daily, it’s difficult to predict when that day will be.”
And at that time, she added, “we know these decisions have a big impact on the lives of our associates, and we remain committed to paying our store and salon associates through mid-April and providing benefits for those currently enrolled.”
Mid-April is nearly here; and the company has announced a next phase of Coronavirus crisis management strategy.
Ulta Beauty has a new Coronavirus crisis management strategy
“As we navigate this very fluid situation, our teams are evaluating all new information, including recently passed legislation, to ensure we can make the best decisions for our associates, our guests and our business,” says Dillon in Wednesdays’ media release about the new plans.
“After thoughtful consideration,” she says, “we have made the difficult decision to temporarily furlough many of our store and salon associates. During these uncertain times, we will do all we can to make sure these associates are supported.”
The furlough makes Ulta employee eligible for unemployment benefits, according to the media release. And the company will continue providing benefits for furloughed employees that were already enrolled.
Additionally, the Ulta Beauty Associate Relief Program has been expanded to allow grants to associates “in need of assistance due to a personal hardship as a result of COVID-19.” And the release notes that Dillion donated $500,000 to the fund and that other company executives as well as member of the Ulta Beauty board of directors are also expected to make donations to the fund.
For the foreseeable future, Ulta Beauty stores are closed though ecommerce, fulfillment, human resources, and other departments are still operational.
“As we move forward, we intend to stay true to our company values and work towards the day when we can reopen with the most strength and safety as possible,” Dillon tells the press.
“This means we will continue to make important decisions in an effort to support our business and importantly, our teams. In these unprecedented times, we want to do our part to help the larger, global community and take care of our Ulta Beauty family. We are in this together,” she says.
Deanna Utroske is a leading voice in the cosmetics and personal care industry as well as in the indie beauty movement. As Editor of CosmeticsDesign.com, she writes daily news about the business of beauty in the Americas region and regularly produces video interviews with cosmetics, fragrance, personal care, and packaging experts as well as with indie brand founders. Learn more about how the beauty industry is coming together during the COVID-19 crisis here.