Jenny Craig Could Disappear for Good—Iconic Weight-Loss Company Is Shutting Down

The company is closing its doors after four decades of business.

Endorsed by celebrities like Mariah Carey and Ross Mathews, Jenny Craig has been one of the most well-known names in the weight-loss space since the 1980s. This popular program has long been revered for its prepackaged frozen foods and detailed meal plans that have helped people lose weight while also adopting a healthier diet for decades now. But as new trends like the use of Ozempic take hold across the U.S., it seems that Jenny Craig may have lost its luster in the wellness world. The iconic weight-loss company is now shutting down. Read on to find out if Jenny Craig is really disappearing for good.

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Jenny Craig previously confirmed it was "winding down" its weight-loss centers.

Business with /closed forever signs
iStock

News first broke last month that the future of Jenny Craig was less than certain. On April 27, NBC News reported that the wellness company had sent warn notices to employees about potential mass layoffs. "This will likely impact all employees in some manner," a "Jenny Craig Company Transition FAQs" document that was sent to some staffers stated. The notice also advised workers to start looking for other employment opportunities.

As a result of this report by NBC News, a Jenny Craig spokesperson confirmed to the news outlet that the company was entering into a transition period as it was "winding down physical operations" and "embarking on the next phase" of its business. "Like many other companies, we're currently transitioning from a brick-and-mortar retail business to a customer-friendly, e-commerce driven model," the spokesperson added.

But now it seems like this transition is instead marking the end of Jenny Craig completely.

The company is now reportedly shutting down altogether.

Jenny Craig weight loss clinic building exterior and parking lot in a Houston, TX shopping center.
Shutterstock

We might not end up getting to see the e-commerce version of this wellness company, however. After reviewing internal communications sent to employees, NBC reported on May 3 that Jenny Craig has instead decided to close its doors altogether after four decades in the weight-loss space. According to the news outlet, Jenny Craig corporate and salaried field employees will have their last day of work on May 5, while the company's hourly center employees' last day already happened on May 2.

Best Life has reached out to Jenny Craig to confirm that the company is shutting down, and we will update this story with their response.

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Jenny Craig has been facing financial challenges.

View of various Jenny Craig prepackaged meals.
Shutterstock

Back in March, Bloomberg reported that Jenny Craig was searching for a potential buyer amid "cash flow pressures." According to the news outlet, the company was battling roughly $250 million in debt and was considering filing for bankruptcy if it could not find a buyer. And in its original FAQ document sent to staff, Jenny Craig confirmed that the company "has been going through a sales process for the last couple of months."

But it looks like the search was not successful, based on an email that Jenny Craig employees were sent on May 2, according to NBC News. In this correspondence, the company said it will be closing "due to its inability to secure additional financing." Two Jenny Craig corporate employees also told NBC News that they believe the company may file for bankruptcy by the end of this week.

Jenny Craig has over 500 weight-loss centers in North America.

Jenny Craig exterior
Ken Wolter / Shutterstock.com

Jenny Craig had recently been touting itself as "one of the world's largest weight-loss and weight-management companies." The Carlsbad-based business currently employs more than 1,000 people, with about 500 weight-loss centers located throughout the U.S. and Canada. Despite this widespread reach, Jenny Craig employees told NBC News that there had been no indication prior to the notice sent in late April that the company was headed for a total shutdown.

According to the news outlet, the company was posting job openings on LinkedIn as recently as a month ago, and one employee said she was given a raise and new training just a few weeks before that. But in their termination letter, Jenny Craig told employees that they will receive a "final paycheck, including your full compensation earned through your last day of work and all accrued, unused paid time off."

Kali Coleman
Kali Coleman is a Senior Editor at Best Life. Her primary focus is covering news, where she often keeps readers informed on the ongoing COVID-19 pandemic and up-to-date on the latest retail closures. Read more
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