Manchester United staff are braced for significant change amid news that nearly a quarter of the club’s workforce will be laid off.
According to the Daily Mail, the bombshell announcement came after a wide-scale cost review commissioned by new co-owner Sir Jim Ratcliffe.
The planned redundancies are reportedly driven by critical factors, including a focus on improving the club’s on-field performance.
United expect to free up tens of millions of pounds by cutting their payroll, and the proceeds will be reinvested in Erik ten Hag’s squad after the club endured their worst Premier League finish in history.
Ratcliffe is keen to close the gap on local rivals Manchester City, and Ten Hag’s squad will require significant investment to make that a reality.
Complying with the Premier League’s Profit and Sustainability Rules (PSR) is also a factor in the proposed staff clear-out.
United have by far the highest number of staff in the Premier League. Their 1,100 employees are astronomical compared to Man City’s 520, and this perceived bloat has been criticised for hindering efficiency and decision-making.
While it is understood that the cuts have been carefully evaluated and that the club considered alternatives, management believes a smaller, more agile operation will increase accountability and streamline decision-making.
The move has reportedly been authorised by the majority owners, the Glazer family, and affected employees across all departments will be notified over the coming weeks.
Some non-essential activities will also be discontinued, although the club’s charitable arm, the Manchester United Foundation, will not be affected.
Ratcliffe is a lifelong fan of United, and his arrival at Old Trafford marks a new chapter for the club.
The INEOS chief envisions a club with minimal wastage as he attempts to return his boyhood club to its former glory, challenging for trophies and competing at the highest level.
However, the human cost of these redundancies cannot be ignored. While the club assures explored alternatives, the impact on hundreds of employees and their families will be significant.
