Logan-based cookie-bakery chain Crumbl confirmed Tuesday that it had laid off a number of its employees, citing “strong economic headwinds,” although the company did not say how many workers were affected.
“We are currently going through structural changes with our training program,” Crumbl said in a statement, adding that it had “realigned” some of its teams and “streamlined” the operations of the company’s flagship store, located in Orem.
While that store previously functioned as both a retail outlet and a training facility, the statement said, “moving forward, we will focus on its primary retail function to optimize the customer experience.”
The statement also said that the company had dissolved and merged certain teams at Crumbl’s headquarters to “implement our current strategic direction.”
“We value the contributions of all our team members and are committed to supporting those affected during the transition,” it read.
At least one Crumbl executive has posted on LinkedIn that they were laid off. A current Crumbl executive based in Texas posted on LinkedIn Tuesday that she was “feeling deeply” for the employees hit by the company’s layoffs.
Despite the layoffs, the statement said sales were strong and that Crumbl is growing internationally. In August, the company had 883 locations worldwide, in all 50 states and Puerto Rico. As of Tuesday, the company’s website listed 923 locations. The statement also said Crumbl will be hiring new employees “based on our new strategic direction.”
In August, a federal judge denied Crumbl an injunction against one of its rivals. However, in his ruling, a Utah U.S. District judge wrote Crumbl “probably has shown a likelihood of success” in proving its claims that Dirty Dough LLC had taken “trade secrets” from Crumbl.
In July, Crumbl settled a lawsuit against another of its rivals, Crave Cookies.
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