Home appliance giant Dyson announces massive layoffs

It was bad news that was announced on Tuesday, July 9, to Dyson’s 3,500 British employees: a thousand of them are expected to leave the company very soon. “These job cuts are a major blow to the UK. The announcement comes on the same day that the new Business Secretary, Jonathan Reynolds, brought together around 100 business leaders to discuss his priorities,” underlines the Financial Times.

All departments of the high-end household appliance group, which achieved a turnover of 8.4 billion euros in 2023 and which is still headed by its founder, Sir James Dyson, should be affected by the restructuring. “The UK should remain the company’s research and development centre,” although some of the work is being done in Singapore, where Dyson moved its headquarters in 2019. Management has not yet said how many jobs it plans to cut elsewhere in the world. The group employs a total of 15,000 people in more than 80 countries.

“Dyson operates in increasingly competitive global markets, where the pace of innovation and change is accelerating. We know we must continually demonstrate entrepreneurial spirit and agility,” explained Hanno Kirner, the managing director.

A controversial founder

In Asia, Dyson’s biggest market for its vacuum cleaners, hair dryers and air purifiers, the brand is up against local manufacturers who can reproduce its most advanced innovations in record time – and market them much more cheaply, the company said. Financial Times.

Dyson had suffered a first spectacular setback in 2019: that year, the group had to give up produce electric vehicles after investing some £2 billion (€2.3 billion) in the project. Two years later, James Dyson, who was exiled in Singapore for a time, sparked controversy by demanding that Boris Johnsonthen Prime Minister, “guarantees” on the tax status of Dyson employees wishing to return to the UK.

In December, the billionaire blamed British politicians, “both the Conservative Party and the Labour Party,” accusing them of having made “wealth creation” and some “growth” of the “bad words”. The announced layoffs risk further complicating the image of the inventor of the bagless vacuum cleaner, notes the Financial Times.

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