Thousands of employees may be laid off in Rolls Royce, emphasis on making operations economical

Aircraft engine maker Rolls-Royce is planning to lay off thousands of employees. The company hired consultants led by McKinsey & Co. to advise the company on the issue.
According to the information, the company plans to lay off 3,000 non-manufacturing staff out of the total number of its employees present all over the world.
Apart from laying off employees, the company plans to merge its non-manufacturing departments. The company has civil aerospace, defense, and power systems divisions in non-manufacturing. Through this, the company wants to make its operations economical.
Recently, in a statement issued by the spokesperson of Rolls-Royce, it was said that we are working on the transformation of all our work streams and our aim is to make them more affordable than before. However, it has been clarified by the spokesperson of the company that we have not yet taken any decision on the impact of this change on the employees.
It is being told that the maximum impact of this retrenchment may be at the headquarters of Rolls-Royce as the company has more non-manufacturing staff here.
At the same time, Tufan Erginbilgic, CEO of Rolls-Royce, says that the work of transformation has started in the company to make work more economical.
There is a possibility of many big economies of Western countries going into recession this year. For this reason, big companies like Google, Amazon, Meta, Snapchat, Zoom, and Microsoft resort to retrenchment to reduce their costs.