URGENT UPDATE: Mattel, the iconic toymaker known for its beloved brands like Barbie and Hot Wheels, has confirmed it will lay off 89 workers at its El Segundo headquarters. This significant reduction in workforce is set to begin on January 12, 2026, as part of a critical restructuring of its global brands team.
In a letter filed with California’s Employment Development Department on November 13, 2025, Karen Ancira, Mattel’s executive vice president and chief people officer, emphasized the gravity of the decision, stating, “We greatly value the contributions of all our employees and do not take any action regarding our workforce lightly.” This move follows a WARN notice, which is mandated when an employer lays off over 50 employees, highlighting the scale of these job cuts.
The layoffs are part of Mattel’s ongoing cost-cutting efforts, initially launched last year, aiming for $200 million in savings by the end of 2026. The company is bracing for potential impacts from President Donald Trump’s tariffs on global imports, which have been a point of concern for many U.S. manufacturers.
A Mattel spokesperson explained that these layoffs will affect individuals within the company’s “global brands team,” following a recent shift in leadership and a new approach towards “marketing integration.” This restructuring is expected to enhance brand management strategies while driving growth in a highly competitive market.
In a broader context, Mattel has taken substantial steps to reshape its leadership team, including the promotion of Roberto Stanichi to the newly created role of executive vice president and chief global brand officer. Stanichi, a veteran of 20 years at Mattel, will oversee the new organizational structure aimed at revitalizing the company’s entertainment business.
This announcement builds on a previous round of layoffs in March 2025, when Mattel cut 120 positions across various departments such as marketing, design, and IT. The latest layoffs will impact roles in brand marketing, design, and franchise marketing, affecting both senior managers and vice presidents.
As Mattel navigates these turbulent waters, the emotional toll on affected employees cannot be overstated. The urgency of this restructuring reflects the company’s need to adapt swiftly to market challenges and ensure long-term sustainability.
What’s next? Stakeholders and industry observers will be closely monitoring Mattel’s actions as it seeks to implement these changes and achieve its ambitious cost-saving goals. The impact of these layoffs on the company’s culture and productivity will also be crucial in the months ahead.
Stay tuned for more updates as this story develops.
