Li & Fung has started slashing around 70% staff at the procurement department in Hong Kong since last week, affecting hundreds of people. There are also layoffs in Shanghai and Shenzhen, however, the actual number of people involved remains unknown. Li & Fung responded that the staff adjustment was made due to pandemic hit. However, they did not disclose further details on the job cut.
Though the Fung family still maintains a controlling 60 percent share of the company, the rest now lies in the hands of Singapore-headquartered global logistics warehouse operator and investor GLP. Here it is important to note that only last week, the company went private with its shares delisted from HK stock exchange and finally closing at 1.24 HKD ($ 0.16).
That was a whopping 94 per cent value loss from its best performance back in 2011.With nearly 17,000 employees worldwide, the company has more than 250 offices in 40 markets and works with more than 15,000 suppliers across the world.
