Manchester United is set to cut 250 jobs in a bid to reduce costs and eliminate "non-essential" activities. The decision follows a comprehensive review of club operations led by United director Sir Dave Brailsford after Ineos' co-ownership of the club was confirmed in December.
Sir Jim Ratcliffe had previously expressed a desire for staff to return to working from club premises. However, club sources now indicate that a significant financial transformation is necessary to address the escalating year-on-year costs.
The review concluded that the club's current structure and size do not align with its football performance, indicating an excess of staff. Identified cost savings around "non-essential" activities will lead to a reduction in headcount and employee costs. The specifics of these activities remain unclear, but the aim is to streamline operations.
Currently, Manchester United employs 1,150 full-time staff. Interim chief executive Jean-Claude Blanc announced the job cuts at an all-staff meeting attended by approximately 800 employees.
The decision has sparked negative reactions, with criticisms highlighting that poor first-team recruitment has squandered more money than the savings from workforce cuts. Former chief executive Richard Arnold previously stated that the club had "burned through" £1bn on players with minimal success.
Since their last Premier League win in 2012-13, United has spent £1.5bn on new players, with few proving to be valuable additions. This summer, the club had a £35m bid for Everton defender Jarrad Branthwaite rejected and is keen to acquire two central defenders and an additional forward player.
In a recent interview with Bloomberg, Ratcliffe described the past six months since acquiring the club as "interesting" and acknowledged that it would be "not going to be a short journey" to restore United's status. He emphasized that some club practices are outdated and not befitting "the biggest football club in the world."
Additionally, United has committed £50m to the development of its Carrington training ground. This has temporarily displaced the women's team from their new facility, which is now being used by Erik ten Hag’s squad.
In the spring, a task force including Greater Manchester Mayor Andy Burnham and former United captain Gary Neville was appointed to assess the financial viability of building a new stadium near Old Trafford.
United officials stress that the decision to cut staff was not taken lightly, affecting all areas of the club except for the Manchester United Foundation. Despite considering alternatives, they determined that the impact would not have been sustainable. A formal redundancy process will now commence.
