Dyson, known for its cutting-edge technology, has conducted an unexpected round of layoffs in Singapore on Tuesday (October 1), catching many employees off guard. The move has led to shock and uncertainty, with workers reporting low morale and a heightened sense of job insecurity.
This comes only three months after Dyson assured that its Singapore operations would not be affected by a global restructuring that had seen 1,000 jobs cut in the UK. Singapore served as the company's global head office and has been perceived as safe from such actions.
The layoffs happen discreetly
According to an anonymous source, affected employees learnt of their redundancy through an email, which called them to a one-on-one meeting with human resources. One former employee recounted, “The HR representative was there. We were told our roles were redundant and asked to pack our things. It was very discreet. You wouldn't know who was being called in, but I saw many envelopes being passed around.”
According to another employee who also requested anonymity, the layoffs on Tuesday affected staff in the manufacturing and procurement departments. However, the number of workers affected remains uncertain.
Some recalled earlier layoffs in Johor Bahru, where Dyson has a development centre. However, Tuesday's layoffs in Singapore surprised many, especially since the company had announced plans to increase its regional investments. “People are feeling shocked. Morale is low because no one knows if more cuts are coming,” said one employee.
Reports suggest that 12 individuals from different teams, including research and development (R&D), were let go. Another worker described the scene: “People were picking up their bags, and at first, I thought they were heading to meetings, but they were leaving for good.”
The sudden nature of the layoffs has left many in Dyson's Singapore office concerned that this might not be the last round. “The retrenchments in the UK happened over a few weeks and across different departments. Some of us are worried the same might happen here,” said one of the affected employees.
In response to queries, a Dyson spokesperson stated: “We constantly adjust our teams to ensure we have the right skills in the right places. Our ambitions in Singapore remain unchanged, and we expect to continue growing here in the medium term.”
The company declined to provide further details on the number of employees affected, the roles made redundant, or the specific reasons for the layoffs.
Union expresses disappointment over short notice
The United Workers of Electronics and Electrical Industries (UWEEI), affiliated with the National Trades Union Congress (NTUC), expressed disappointment with how Dyson handled the retrenchments, particularly the short notice. According to the union, it was only informed of the layoffs a day before they took place, leaving little time for meaningful discussions.
“UWEEI is disappointed that we were only given one day's notice of the retrenchment exercise. We've escalated the matter to the Ministry of Manpower (MOM),” the union said.
While the workers laid off fall outside the union's collective agreement with Dyson, UWEEI stated that it is ready to support those affected. It has pledged to work with NTUC's Employment and Employability Institute (e2i) to help employees find new jobs, offer career coaching, and provide retraining opportunities.
UWEEI also called on companies to follow NTUC's Fair Retrenchment Framework, which encourages businesses to protect local workers and support those affected by layoffs.
In response, Dyson said it had “respectfully informed UWEEI in advance” and complied with all relevant MOM guidelines. The company also mentioned offering outplacement services and employment assistance programmes, including counselling.
Long-standing presence in Singapore
Dyson, founded by British entrepreneur Sir James Dyson, is widely recognised for its vacuum cleaners, among other innovations. The company established its presence in Singapore in 2007 and made the city-state its global head office in 2019. Singapore is crucial in Dyson's operations, serving as a hub for research, engineering, advanced manufacturing, and supply chain activities.
Dyson manufactures its digital motors in Singapore, and one motor is produced every two seconds at its facility in Jurong. The company also makes air purifiers, hair dryers, and other appliances.
Dyson has committed to opening a high-tech plant in Tuas by 2025, where next-generation batteries will be produced. This plant will be Dyson's largest manufacturing investment to date. In 2022, Dyson announced a US$1.1 billion investment into its Singapore operations over four years, promising to hire more than 250 engineers and scientists in areas like robotics and machine learning.
As of the end of 2023, Dyson employed over 1,920 people in Singapore. The Economic Development Board (EDB) has confirmed that Dyson continues to maintain a significant presence in Singapore, and government agencies will work with Dyson to assist retrenched workers in finding new opportunities.
