Around 1,400 people across Nike The global operations team will be laid off, the company announced Thursday.
In a memo to employees, Chief Operating Officer Venkatesh Alagirisamy said the cuts would primarily affect Nike’s technology division and would span North America, Asia and Europe, accounting for just under 2% of the company’s business. global workforce.
“This is not a new direction,” Alagirisamy wrote. “This is the next phase of work already underway.”
The announcement follows a series of recent job cuts as Nike restructures its operations.
NIKE’S DIVERSITY INITIATIVES UNDER EEOC REVIEW FOR ALLEGATIONS OF DISCRIMINATION AGAINST WHITE WORKERS
Nike announced layoffs affecting about 1,400 employees as part of a broader restructuring effort, the company said. (iStock/iStock)
In January, the company said would eliminate 775 jobs as part of a push for automation in distribution centers.
In February 2024, Nike announced plans to reduce its workforce by about 2%, or more than 1,600 employees, and a few months later, in August, it announced it would cut less than 1% of the company’s staff as part of a broader turnaround effort. CEO Elliott Hill.
Shares rose about 0.5% after hours, although Nike stock has lost more than half its value over the past three years.
According to Alagirisamy’s memo, the layoffs are aimed at streamlining supply chains for materials, footwear and apparel, and centralizing technology operations in two hubs: Beaverton, Oregon, and the Nike India Technology Center.
THE BEER GIANT REVERSES $600M IN AMERICAN PRODUCTION, A MAJOR BET ON AMERICAN GROWTH
The Nike logo is pictured at a Manhattan store on March 30, 2026 in New York. (Zamek/VIEWpress/Getty Images)
Nike also plans to move Converse manufacturing and engineering operations closer to factory partners.
“These changes aim to make the business less complex and more responsive,” Alagirisamy said. “Looking ahead, that means simplifying parts of how we operate, using more advanced automation where it helps us work better, and building an even stronger end-to-end foundation for future growth.”
Teleprinter Security Last Change Change % OF NIKE INC. 44.78 -0.90 -1.97% Hill, who became CEO in 2024, pledged to refocus the Nike brand on basic sports, such as running and football, while accelerating new product launches.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Nike plans to lay off about 1,400 workers as it streamlines its operations and invests in automation, the company said. (Reuters/Anton Vaganov/Reuters)
Nike expects sales to decline 2% to 4% this quarter, with China a key marketis expected to decline by about 20%, the company said.
Nike referred FOX Business to Alagirisamy’s memo when asked for comment.
Eric Revell of FOX Business and Reuters contributed to this report.
