Nike’s headquarters in Oregon will see significant layoffs affecting hundreds of employees by June, according to a WARN notice filed with the state of Oregon on April 19.
Confirming its restructuring plans, Nike revealed that by June 28, approximately 740 employees will have been impacted by two rounds of layoffs. This move follows Nike’s announcement in February of a 2 percent reduction in its workforce. The company’s decision has been preceded by reports on LinkedIn since November, where several employees shared their layoff experiences amid organizational changes, particularly in design and marketing.
In a statement addressing the layoffs, Nike emphasized its commitment to growth and adaptation: “Nike’s always at our best when we’re on the offense. The actions that we’re taking put us in the position to right-size our organization to get after our biggest growth opportunities as interest in sport, health and wellness have never been stronger.” The company expressed gratitude for the contributions of all its employees amidst these changes.
Nike had hinted at forthcoming layoffs back in December as part of its strategy to streamline operations and generate cost savings of up to $2 billion over the next three years. The brand has faced criticism for its perceived innovation slowdown, with experts pointing to a reliance on existing best-sellers rather than fostering new franchises. Nike’s CEO, John Donahoe, recently attributed innovation challenges to remote work, a statement that drew backlash from analysts who argue that the issues run deeper, including talent loss at the leadership level and prioritization of financial objectives over brand development.
