E-cigarette manufacturer Juul Labs has announced that it will be cutting approximately 30% of its workforce, affecting around 250 employees. The move is aimed at reducing operating expenses by $225 million and boosting profitability. These cost-cutting measures are seen as essential for the company as it seeks federal authorization to keep its e-cigarette products on the market and faces regulatory uncertainty.
Juul has also been involved in costly legal battles and has paid over $1 billion in settlements to multiple states for its role in promoting teen vaping. Additionally, the company faces a patent infringement lawsuit from Altria Group, the maker of Marlboro cigarettes.