Nike announced on Thursday that it plans to reduce less than 1% of its corporate workforce as part of its ongoing business turnaround efforts under Chief Executive Officer Elliott Hill.
The company said the decision is aimed at supporting its strategy to invest more in running shoes and sneaker lines, rebuild ties with retailers and expand its physical store footprint to better compete in a challenging market.
As of 31st May, Nike employed about 77,800 people worldwide, including retail and part-time workers. The company noted that the layoffs will not affect its EMEA or Converse businesses, although the exact number of jobs impacted has not been disclosed.
The announcement follows comments made by Hill in June, when he outlined plans to “realign” operations into cross-functional teams organized by sport. Nike stated that the new structure is designed to place sport and sport culture at the core of its business, with the goal of strengthening connections with both athletes and consumers.
This marks the latest workforce adjustment at the sportswear maker. In February last year, Nike cut about 2% of its staff — more than 1,600 jobs — in response to demand pressures and cost challenges. More recently, the company said it would reduce its reliance on Chinese production for the US market to limit the impact of import tariffs, after forecasting a smaller-than-expected revenue decline in the first quarter.
