Is Young Living a Mlm Company

According to a proposed class action lawsuit filed this month by Young Living member Julie O`Shaughnessy in Texas federal court, the company, which generates more than $1 billion in revenue each year, claims to sell “essential oils” through a complicated [multi-level marketing] operation, a model that “relies heavily on recruiting new employees into the Young Living field service.” For example, according to this source, Young Living employees withdrew significant funds — more than $400,000 — from Essential Science Publishing`s bank account in the early 2000s without the company`s knowledge. The source later learned that Young Living had cash flow problems and that one of its executives apparently had access to Essential Science Publishing`s bank account. While Young Living presents itself as a company that “creates abundance” for its nearly 3 million members – that is, Financial Rewards – in reality, according to Ms. O`Shaughnessy`s complaint, “Young Living is nothing more than a sectarian organization that mistakenly peddles the ever-elusive promise of financial success,” through a “structure that guarantees that any new member will almost certainly lose large sums of money. the attempt to recruit additional new members from an increasingly small pool of available candidates. In 2013, doTerra had approximately 450 employees, including 350 at headquarters in Utah and 100 in offices in Taiwan, Japan, Europe and Australia. Later, the company announced that it would build a new headquarters in Pleasant Grove, Utah. [12] The company`s products are sold through independent distributors called Wellness Advocates, who use a multi-level marketing model to sell its products. Individuals receive commissions based on their own sales and sales from other members of their organization. [4] In 2014, the company sold more than 150 products such as dietary supplements, personal care products and essential oils. On Life Science Publishing`s Facebook page, the company describes itself as Young Living`s preferred third-party provider. And the Battles Troy Facebook page has plenty of posts about Young Living products, the Young Living events she`s attended, and photos posing with Mary Young.

“So excited to see Mary Young,” she wrote in a June 2018 post. “To the extent that the article targets the company`s late founder, Gary Young, the company has evolved far beyond the unique story of its founder. Of course, Gary was a loner in the industry and had strong beliefs about essential oils and their uses. It is also true that many Young Living members and clients today maintain these beliefs. Young Living does not endorse the use of essential oils outside of a person`s labeled instructions for use and the advice of doctors. At the same time, there are clinically proven benefits of essential oils. All of this contributes to the demand for the products and why so many other companies market essential oils. Following the California wildfires in 2017, it was reported that some doTerra dealers announced the company`s products for air purification and protection from the health effects of fire smoke. Air pollution experts countered that the products do not purify smoke from the air and could worsen air quality by releasing volatile compounds and potentially make it dangerous for people with respiratory problems. [28] LEHI, Utah — April 23, 2021 — Young Living, the world`s leading supplier of essential oils, today announced that it has been ranked #7 on Direct Selling News` (DSN) Global 100 list, which recognizes companies in the direct selling industry for their revenue success.

Young Living`s high ranking is the result of the company`s $2.2 billion in revenue in 2020, which was a record year. “Our successes over the past year, despite these unprecedented challenges, demonstrate the strength of the Young Living family,” said Mary Young, co-founder and CEO of Young Living. “We have had a record year of growth and I want to thank all of our employees and global brand partners who have helped make this honour possible. We look forward to continuing our expansion in 2021 and sharing the donation of essential oils with more people around the world. The DSN Global 100 list offers a unique perspective on the global impact of the direct selling industry on the economic and social realms. This year`s DSN Global 100 list recognizes 64 companies that will generate more than $100 million in revenue in 2020. The goal of the Global 100 list remains to demonstrate the true impact of this channel on people`s lives, as well as the economic impact of direct selling companies on the communities they serve. “Since joining Young Living eight months ago, I have had the opportunity to experience the entrepreneurial spirit of the Young Living team and see the company go through tough times to achieve its goals,” said Joe Cannon, President of Young Living. “Young Living is positioned for further growth and I am thrilled to be part of the leadership of our team. We set ourselves high goals for the future! Young Living was one of 16 companies on the list to generate more than $1 billion in revenue, and one of only 7 to cross the $2 billion mark.

The company was also the only essential oil company to make the list. The list of the top 10 can be found here and the full list can be found here. “For the average employee of a large company like this, it can be quite intimidating to be in that atmosphere and see someone say that what you`re doing is hurting my business,” said one former employee. The NAD decision is not the only legal and regulatory hurdle Young Living currently faces. In April, the company lost a class action offer filed in California in arbitration. The case, which alleges that Young Living`s business model is an illegal Ponzi scheme, must now be brought to justice. The company has even created a “say this, not that” document to tell members what they can and cannot say about their products. .