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Are Morphe Stores Shutting Down? Morphe Retailers in Trouble: Employees Left in the Dark

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Are Morphe Stores Shutting Down: Several employees of Morphe have asserted that the company is shutting down its outlets across the United States without providing them prior notice. Some employees have taken to TikTok to discuss how they were terminated with minimal severance pay.

The employees of Morphe are now concerned that their store will soon close as well. Customers are also unsure if the firm, which is known for its inexpensive cosmetics, will cease operations in the United States. Read on to find out more.

Morphe Employees Claim the Retailer is Shutting Stores

Staff employees of Morphe have resorted to social media to explain that they were given a four-day notice after being informed that their store will be closing. Dani Garza, who goes by the nickname @creepypeachy on TikTok, produced a video recounting her experience in which she stated, “Morphe has been closing retail stores for at least a year, in complete secrecy.”

“They are telling everyone that the reason is lease-related. They informed us on December 22 that our last day of operation is December 26, which is today.

Then, tomorrow, we will be packing up the store, and we will no longer have a job. Which is it? A four or five-day notice,” she stated.

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Dani also disclosed that she had worked at the store for over a year and a half and that she would receive only three weeks of severance pay. She stated that she created the video to spread awareness because few people are discussing the topic.

Morphe Releases Statement

Forma Brands, the company that owns Morphe, has now issued a statement confirming the closure of certain of its retail locations. However, they did not indicate how many stores would bear the brunt of the burden.

A Forma Brands representative stated that the company was experiencing difficulties due to the ‘broader beauty landscape over the past year,’ and that the ‘decisions that impact our people are extremely difficult, and we extend our deepest gratitude to the dedicated Morphe store team members at the closing stores.’

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Selena Gomez’s Rare Beauty, Gwyneth Paltrow’s Goop, and Hailey Bieber’s Rhode Skin are among the major cosmetics companies that have entered the market in the past year. The epidemic exacerbated difficulties for the existing retailers, who now face intense rivalry from the major companies.

The Company is also Facing Several Lawsuits

The news of the closure of Morphe outlets comes at a time when the corporation is facing many lawsuits. Shelby Wild, the founder, and CEO of the hair care business Playa is suing the retail chain for failing to promote her brand following its 2020 acquisition.

“It became evident almost immediately after they took control that General Atlantic had given me a false promise. This culminated in their reluctance to compensate me for the sale of my business,” Wild stated in a statement. Currently, she is demanding $15 million in damages.

Moreover, Morphe is reportedly moving toward a Chapter 11 bankruptcy file. There are rumors that the corporation owes between $600 million and $700 million. Their reps have yet to comment on the rumors, though.

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