Dyson, the renowned vacuum cleaner and air purifier manufacturer, is undergoing a significant workforce reduction in the UK.
The company plans to cut roughly 1,000 jobs, impacting over a quarter of its British workforce.
Dyson Announces Cost-Cutting Measures Amid Latest Tech Layoff
This decision comes as part of a broader strategy to streamline operations and reduce costs. Dyson aims to optimize its global workforce of 15,000 employees, with the UK branch experiencing the most substantial adjustments.
According to The Guardian, the company maintains offices in Wiltshire, Bristol, and London, and these locations will see a significant reduction in personnel.
Facing Fierce Competition in Asia
Dyson's primary market lies in Asia, where they encounter intense competition from local brands. These rivals often quickly develop similar products, mimicking Dyson's latest releases.
This rapid replication forces Dyson to create strategic adjustments. Such a scenario is common to markets to increase competitive edge.
Innovation and Agility: Keys to Continued Success
Dyson's CEO, Hanno Kirner, emphasizes the evolving industry. According to him, the company "operates in increasingly fierce and competitive global markets" amid the fast-moving change of technology. With this, he acknowledges the need to consider entrepreneurial spirit and agility.
"We have grown quickly and, like all companies, we review our global structures from time to time to ensure we are prepared for the future," he added, saying cutting jobs was "always incredibly painful," Kirner adds.
It's important to note that Dyson is not the lone vacuum maker to conduct layoffs. Earlier this year, iRobot announced that it would lay off around 350 employees. What's more, even Colin Angle, its CEO would step down.
According to CNBC's previous report, the layoff was brought up when Amazon terminated its deal with iRobot. The e-commerce giant added that it has no plans to move forward with the agreement, stating that there was "no path to regulatory approval for the deal."
At that time, 31% of the total workforce was cut down. Unfortunately, the layoff had a negative impact on iRobot's shares as it plunged by 10% after the report layoff made rounds online.
Tech Layoffs Will Persist to Happen in the Coming Months
Aside from the two vacuum manufacturers, several industries are grappling with layoffs to trim down costs in the business.
For instance, Take-Two Interactive, the publisher behind Grand Theft Auto has axed about 579 employees in April. The company said that it would help them save more than $165 million per year.
Last month, Microsoft laid off 1,500 employees working at the Azure Cloud division. A spokesperson of the company said that this move was a "necessary" part to make changes in the business. They said that it was a part of improving the strategic growth areas of the company.
