“Given the late arrival of this meeting invitation on your calendars, many of you will no doubt be asking the question, Will there be layoffs at Ideo? Unfortunately, the answer is yes.”
These were the opening remarks of Derek Robson, CEO of Ideo, on the morning of October 2 as he announced widespread layoffs, office closures, and a restructuring of operations at what’s been one of the world’s most storied design firms for the last three decades, collaborating with companies ranging from Apple to Coca-Cola.
Streaming to an all-hands meeting across the globe, Robson, having donned a blue cardigan and polka-dot scarf, read his notes in a somber timbre. He said the official number of layoffs will reach 125 people by the end of the year, or roughly 25% of an estimated 500 global workers. But Ideo has been shedding employees since 2020 when its headcount was 725, and this is the second round of layoffs in 2023 alone. Ideo has since confirmed to Fast Company that it’s eliminating 32% of its headcount this year, and says that “all levels of the company are impacted” by cuts. Employees laid off will receive severance “commensurate with their experience.”
Alongside the layoffs, Ideo is closing offices in Munich and Tokyo and reducing its footprint in three U.S. locations, London, and Shanghai.
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