McLaren cuts a quarter of its workforce

Supercar maker announces 1,200 redundancies in light of motorsport cancellations and wider coronavirus impact

McLaren 650S Spider static

McLaren is to make 1,200 staff redundant, shedding a quarter of its workforce “to ensure its long-term future success.” The move comes as the Covid 19 pandemic impacts sales across all echelons of the industry, while McLaren has also been hit by many F1 races being cancelled or postponed, and a revised calendar of behind-closed-doors events still yet to be agreed.

The Woking-based company said redundancies would follow a consultation period, and will come from its Applied, Automotive and Racing businesses, with back-office and support roles also impacted. 

McLaren’s executive chairman, Paul Walsh, said: “We deeply regret the impact that this restructure will have on all our people, but especially those whose jobs may be affected.” Walsh added the firm had “worked hard to avoid” redundancies, but McLaren had “no choice” but to make the layoffs, which follow a series of “dramatic cost-saving measures across all areas of the business.”

Even before coronavirus hit, the automotive sector was going through significant changes. Nissan confirmed 12,500 layoffs globally last summer, with Jaguar confirming 4,500 redundancies at the start of last year, and Ford shedding 12,000 European roles

McLaren’s redundancies follow weeks of uncertainty and instability, with factories shutting down and dealerships closed. Lockdown measures are now beginning to ease - plants are restarting and dealers can reopen their doors again from 1 June - but the disruption to the economy was evident in April’s new-car registrations, which were down 97.3 per cent, to trace levels. 

Find out how you can still buy a car in the lockdown here...

Recommended

Coronavirus: what does it mean for cars and motorists?
News

Coronavirus: what does it mean for cars and motorists?

The global Covid-19 pandemic has had a major impact on life in the UK. Here’s everything you need to know about how it affects cars, motorists and the…
27 May 2020
New hybrid McLaren Sport Series supercar spied
McLaren

New hybrid McLaren Sport Series supercar spied

Next McLaren Sports Series supercar has been spotted testing – this time wearing its production bodywork
14 Sep 2020
McLaren looks to sell Woking HQ for £200 million
News

McLaren looks to sell Woking HQ for £200 million

Iconic Norman Foster designed McLaren base to be sold and leased back to the company as part of cash-raising measures
12 Sep 2020
New 804bhp £1.4 million McLaren Elva shows off retro livery
McLaren

New 804bhp £1.4 million McLaren Elva shows off retro livery

The new McLaren Elva has been shown off in a retro-inspired livery, while the novel wind deflector system has been explained in a Facebook video
26 Mar 2020

Most Popular

Energy firms want the right to switch off electric cars charging at home
Electric cars

Energy firms want the right to switch off electric cars charging at home

New powers being sought to allow energy providers to turn off high-drain devices to manage electricity network
18 Sep 2020
Audi A3 vs Mercedes A-Class
Car group tests

Audi A3 vs Mercedes A-Class

The Audi A3 and Mercedes A-Class are strong competitors in the premium hatchback market - we find out which is best
19 Sep 2020
New Rolls-Royce Ghost 2020 review
Rolls-Royce Ghost

New Rolls-Royce Ghost 2020 review

The all-new luxury Rolls-Royce Ghost saloon brings new levels of refinement
18 Sep 2020