Premier League giants, Manchester United are embarking on a proactive initiative to reassess their workforce, with plans to cut approximately 150 to 200 jobs at the club.
This is part of a broader transformation plan aimed at restoring profitability to Manchester United, which have faced financial challenges over the last five years.
In a recent meeting, Chief Executive Omar Berrada shared with staff the necessity of undertaking this new round of job cuts following last year’s initial phase, during which around 250 positions were eliminated under the guidance of co-owner, Sir Jim Ratcliffe. The club’s statement emphasized that these changes aim to foster sustainability and enhance operational efficiency for the future.
With a workforce of 1,140 employees as of June 30, 2024, Manchester United recognize the impact of these adjustments, acknowledging that 450 redundancies would represent around 39% of their overall staff.
A recent financial report highlighted a loss of £27.7 million in the second quarter, contributing to a total of over £300 million lost in the last three years.
In light of current standings in the Premier League, the club is focused on creating a more stable environment to invest in both men’s and women’s football success and infrastructure improvements.
Berrada expressed a strong commitment to positioning Manchester United for future success, stating, “We have a responsibility to ensure the club is in the best shape possible to compete at all levels.” He emphasized the need for these tough decisions to stabilize finances and ensure long-term viability.
In addition to workforce changes, the transformation plan will facilitate some team members relocating from Old Trafford to the club’s Carrington training base, while maintaining a more focused operational presence in Manchester. This decision to streamline operations also includes the removal of free lunches at Old Trafford, projected to save over £1 million annually.
Furthermore, the club’s annual donation to the Manchester United Disabled Supporters Association will remain unchanged at £40,000, showcasing a commitment to community support, even amidst these changes. The club is also engaging in discussions with the Manchester United Foundation regarding continued contributions.
As part of Ratcliffe’s vision for the club, cost management has been prioritized to lay a foundation for future investments. He has indicated that further “difficult but necessary decisions” will be on the table to guide the club toward a sustainable future. Discussions around significant infrastructure developments, such as the potential rebuilding of Old Trafford or the construction of a new stadium, are ongoing, with significant costs anticipated.
