British conglomerate Swire Group has initiated significant workforce reductions at its Hong Kong headquarters, cutting approximately 10% of staff as the company responds to China's ongoing economic challenges. The move comes as part of broader operational streamlining efforts across the organization.
Details of the Job Cuts
The restructuring, confirmed on Wednesday, November 26, 2025, has resulted in 40 employees losing their positions across several critical departments. According to sources familiar with the development, the layoffs primarily affected staff in sustainable development, finance, and risk management functions.
Notably, the job cuts included several senior leaders, with Mark Harper, the group head of sustainability, among those departing the company. While Swire Group acknowledged the organizational changes as part of efficiency improvements, Harper himself did not respond to media inquiries regarding his termination.
Economic Pressures Driving Restructuring
The workforce reduction reflects broader challenges facing the conglomerate due to China's economic slowdown and persistent property market difficulties. Company insiders suggest that management is aggressively pursuing cost-cutting measures, including potential integration of artificial intelligence tools to enhance operational efficiency.
Swire Group's dependence on Chinese markets is substantial, with its flagship arm Swire Pacific generating 79% of revenues from Hong Kong and mainland China. The company's exposure to regional economic volatility is further emphasized by its 91% allocation of non-current assets within the Chinese market.
Financial Performance and Market Impact
The economic headwinds have significantly impacted Swire Pacific's profitability. Recent financial reports reveal a drastic 71% decline in net profits during the previous year, followed by a further 2% slide in the first half of 2025.
Market reaction remained relatively muted following the restructuring announcement. Swire Pacific Class A shares maintained stability, closing at 67.50 Hong Kong Dollars after Wednesday's trading session. The company's market capitalization stood at 86.21 billion Hong Kong Dollars as of October 26, 2025.
Swire Group maintains a global workforce exceeding 121,000 employees, with approximately 500 staff members based at its Hong Kong headquarters prior to the recent cuts. The company continues to navigate the challenging economic landscape while implementing structural changes aimed at long-term sustainability.
