Around 1,400 employees are getting cut across the company, with most of it hitting the tech side.
READ MORE: Corporate Skate Shoe Giant Nike Cuts Converse Marketing 44% Despite CEO’s Turnaround Promise
This is not coming out of nowhere either. It’s part of a bigger plan to tighten things up and move quicker as the brand tries to get back on track.
According to reports, COO Venkatesh Alagirisamy explained that the company is reshaping how it runs behind the scenes.
That means updating how products are made, shifting some work tied to Converse, and blending teams that handle materials and supply chains. Basically, less layers, more speed.
Still, when companies talk about moving faster, it usually means somebody is getting left behind. And this time, it’s over a thousand people.
Nike says the cuts are a small slice of its global workforce, but that does not really soften the blow for the ones affected. These changes are hitting teams across North America, Asia, and Europe, and notifications are already starting to roll out.
This is also not the first time recently. Earlier this year, Nike already cut hundreds of roles in its distribution centers as automation started taking over more of the workload. Before that, there were smaller cuts on the corporate side too. So when they say this is just the next step, they mean it.
At the top, CEO Elliott Hill is trying to steady the ship after a rough period. Sales have been slipping, and the company already warned things might keep heading that way for now. One of the biggest hits is expected to come from China, where numbers are projected to drop hard this quarter.
So yeah, this whole situation is bigger than just layoffs. It’s a company trying to move quicker in a market that is not waiting around. But while the plan might make sense on paper, the reality is simple.
People are losing jobs so the company can run leaner.
And that part always lands the hardest.