BEAVERTON, Ore. — Nike has announced plans to reduce its global workforce by less than 1%, as part of a broader effort to reposition the company through its new “sport offense” strategy. The move, disclosed in an internal memo signed by CEO Elliott Hill and senior leadership, aims to refocus the brand on core sports categories and product innovation.
The layoffs, which will not affect Nike’s EMEA or Converse divisions, are expected to impact fewer than 7,780 employees out of the company’s 77,800-strong global workforce. Staff will be notified by 8 September, with most new roles taking effect on 21 September.
“This new formation is built to put sport and sport culture back at the centre, to connect more deeply with the athlete and the consumer,” Nike said in a statement.
The restructuring follows a February announcement in which Nike cut 2% of its workforce—over 1,500 jobs—as part of its “Win Now” turnaround plan. CEO Hill has since outlined a shift toward cross-functional teams organized by sport, reversing changes made under former CEO John Donahoe.
Nike shares (NYSE: NIKE) closed 0.20% lower at $77.92 on Thursday, valuing the company at $115.95 billion. The stock has declined nearly 50% over the past five years amid falling profits and increased competition.
The company maintains that the changes are necessary to sharpen its focus and restore growth across key markets and product lines.
NIKE Hq Beaverton Oregon Picture by Tracy Lee Caroll
