Dyson, the UK-based technology company, conducted an unexpected round of layoffs in Singapore on Tuesday (1 Oct), leaving many employees shocked and morale at an all-time low.
According to Channel News Asia, the layoffs come just three months after Dyson had assured staff that its Singapore operations, which serve as its global headquarters, would be unaffected by a global restructuring that had cut 1,000 jobs in Britain.
According to employees, the retrenchment exercise was carried out discreetly, with affected workers receiving email notifications for private “one-on-one” meetings.
These meetings, attended by human resources representatives, informed employees that their roles had been made redundant. One laid-off worker, speaking anonymously, shared that employees were unaware of who had been called into the meetings.
“We saw lots of envelopes, and people quietly packing up their things. It was surreal,” the employee said. Another worker confirmed that the layoffs affected staff in manufacturing and procurement, but neither could specify the total number of employees let go.
The layoffs have created a tense atmosphere in Dyson’s Singapore office, where many are concerned about the possibility of further retrenchments.
“People are shocked and have low morale. No one knows if more cuts are coming next week,” an employee noted, citing Dyson’s history of phasing layoffs, as seen in its July cuts in Britain.
A Dyson spokesperson responded to media inquiries by stating that the company was adjusting its team composition to ensure it had the right skills in place for future growth.
“Our ambitions in Singapore remain unchanged, and we expect to continue growing here in the medium term,” the spokesperson said. Dyson did not, however, disclose the number of employees laid off or provide specifics on how the company plans to support the affected staff.
Union criticise lack of notice
The United Workers of Electronics and Electrical Industries (UWEEI), an affiliate of the National Trades Union Congress (NTUC), expressed disappointment at the limited notice provided before the layoffs. UWEEI revealed that it was informed only one day before the retrenchment, which left little room for meaningful discussions. The union has escalated the matter to the Ministry of Manpower (MOM) for further review.
While the union acknowledged that those affected fall outside its scope of representation under its agreement with Dyson, it pledged to support the laid-off employees in collaboration with NTUC’s Employment and Employability Institute (e2i).
UWEEI and e2i will assist with job searches, career coaching, and retraining. The union also called on companies to adhere to NTUC’s Fair Retrenchment Framework, emphasizing the need to protect local workers and ensure that adequate support is given during layoffs.
When asked to respond to the union’s statement, Dyson said it had “respectfully informed UWEEI in advance” and was following all MOM guidelines. The company is offering employment assistance programs (EAP), including outplacement services and counseling for affected employees.
Dyson’s presence in Singapore
Dyson, best known for its vacuum cleaners, has been operating in Singapore since 2007. It designated Singapore as its global headquarters in 2019, and the city-state serves as a hub for Dyson’s research, engineering, and manufacturing operations.
The company produces its patented digital motors in Jurong, where a new motor is made every two seconds. Dyson is also investing in a high-tech battery manufacturing plant in Tuas, set to open by 2025. In 2022, Dyson announced plans to invest S$1.5 billion in its Singapore operations over the next four years, and as of 2023, employed over 1,920 people.
Despite this long-standing presence, the layoffs have left employees uncertain about Dyson’s future in Singapore. “We thought the company was going to step up investments here, but now we’re not so sure,” said one affected worker.
The Economic Development Board (EDB) issued a separate statement noting Dyson’s significant presence in Singapore. EDB emphasized that it would work closely with Dyson and relevant government agencies to support displaced workers, including helping them find new jobs in companies that require similar skill sets.
Social media outrage and scepticism
In the aftermath of the layoffs, online platforms like Reddit and Facebook saw an outpouring of frustration.
Many commenters criticized Dyson for what they viewed as inconsistent behaviour, pointing out that the company frequently reposted job vacancies while simultaneously cutting jobs.
“This is a s**t company. They act like they’re hiring, but now they’re laying off,” one Reddit user wrote. Another added, “I’ve heard of this practice before. A lot of multinational corporations do the same thing.”
Others questioned the role of the union and the government in preventing such layoffs. “How does tripartism work here? Dyson is cutting jobs, and MOM is just watching,” one commenter posted, referring to the model of cooperation between the government, unions, and employers.
Another remarked, “Tripartite practice here is a joke. Trade unions should be independent to protect workers, but Singapore is too lax. Companies just take advantage.”
On Facebook, commenters continued to express dissatisfaction, with one individual asking why the union and MOM had not acted sooner.
“Is this because they are all white-collar workers? Only union members seem protected, while non-union workers have to fend for themselves.” Another wrote, “This retrenchment should have been handled better. Singapore is becoming too expensive, and when that happens, companies like Dyson will just leave.”
Many expressed scepticism about Dyson’s long-term commitment to Singapore. “They said they’d invest in Singapore, but now they’re cutting jobs. They take whatever benefits they can get and leave as soon as things get tough,” one commenter speculated.
Others pointed out the growing global competition for skilled workers, with one user writing, “More countries can do what Singapore does at a fraction of the cost. If we don’t innovate, we’ll lose more jobs.”
As the debate continues online, affected employees are left to navigate the uncertainty brought on by the layoffs, with many unsure about what the future holds for Dyson’s operations in Singapore.