Morphe closes all UK stores with more than 70 employees made redundant

Morphe has confirmed the closure of all its standalone stores in the UK, with plans to focus on wholesale and e-commerce.

The makeup brand closed all seven of its UK stores yesterday, 31 July, with 73 employees made redundant effective immediately.

Morphe opened its first UK store at Westfield Stratford back in 2018. It later opened locations in Birmingham, Cardiff and Liverpool, amongst others.

A spokesperson from Morphe told TheIndustry.beauty: "Forma Brands has made significant progress over the last year positioning our business for growth by focusing on our flagship Morphe brand largely through our wholesale and e-commerce operations.

"During that time, our owned Morphe stores in Europe, which have consistently provided an extraordinary experience for our customers, faced disproportionately high store rent obligations.

"We have therefore made the difficult decision to close our seven UK and one Amsterdam retail locations. This move aligns with our strategy to prioritise and expand our successful wholesale and e-commerce operations, similar to our model in the US.

"We also facilitated an ownership transition of our UK wholesale and e-commerce businesses, which will operate as FORMA BRANDS UK LTD, effective immediately.

"We are immensely grateful to our incredible store teams for their dedication and passion over the years and are working to support them through this transition. Due to store closures, impacted store team members were made redundant immediately.

"In recognition of their dedication, the parent company Forma Brands LLC has provided goodwill payments to all affected employees, equivalent to an enhanced redundancy package."

Former staff members took to social media platforms including TikTok and X to criticise the brand about its lack of communication over the decision to close its stores.

One former employee from Morphe Westfield Stratford said:  "What shocked me more was the effective immediately bit, no heads up or time to prepare to find a new job. I’m going to miss my gurls and my loyal customers that I built relationships with."

Another social media user said: "Getting wind from fellow employees that Morphe is making its UK staff redundant with zero warning or pay. Morphe used to be a huge giant of the makeup world, now it seems to have just whittled away."

It follows the closure of the brand's stores in the US last January, shifting its focus to its wholesale and e-commerce operations.

The announcement was swiftly followed by Morphe's parent company Forma Brands filing for Chapter 11 bankruptcy in the US Bankruptcy Court for the District of Delaware.

The company entered into an agreement with a group of secured lenders in March 2023, under which all of Forma Brands' assets were acquired in exchange for $690 million in debt relief.

Morphe was established in 2008 by siblings Chris and Linda Tawil. Primarily known for its high-quality makeup products and brushes, the brand quickly gained popularity among makeup enthusiasts and professional artists alike. Collaborations with renowned beauty influencers further fuelled its success.

However, once valued at $2 billion, the business has been impacted by reduced demand for colour cosmetics in recent years.