Footwear giant Nike has announced massive layoffs with over 1,400 job cuts worldwide.
Venkatesh Alagirisamy, chief operating officer of the American fashion and fitness brand, has announced massive changes across the global business, including relocating manufacturing centers and ‘modernizing’ its processes.
Although the exact number of job cuts in the UK has not yet been made clear, the layoffs are said to impact North America, Europe and Asia.
Mr Alagirisamy said the plan was part of the company’s ‘Win Now’ strategy. In a lengthy statement, he told employees: “Collectively, these changes will result in the reduction of approximately 1,400 roles across Global Operations, the majority of which are in technology. These cuts are also extremely difficult for the teammates directly affected and the teams around them.”
The job cuts follow the loss of 775 jobs already announced in January, which mostly affected U.S. distribution centers as Nike pushes for greater automation.
The changes will also impact skater footwear brand Nike-owned Converse, which has shifted some operations.
Mr. Alagirisamy said: “Across the company, we are taking deliberate steps to strengthen our foundation, sharpen the way we compete, and build a model designed to deliver long-term profitable growth. Global operations are critical to that effort.”
He added, “This is not a new direction. This is the next phase of work already underway.”
“At its core, these changes are about building a global operations organization that is more focused, more integrated with the business, and better built for the speed of the game.
In the coming weeks, several significant changes to global operations will take effect. These actions will result in changes to certain team structures, work locations, and headcount.
“…For the broader team, such moments require professionalism, empathy, and a shared commitment to each other. These changes are meant to make the company less complex and more responsive. As we look ahead, that means simplifying parts of how we work, using more advanced automation where it helps us do better work, and building an even stronger end-to-end foundation for future growth. I hope these efforts drive our Win Now “Will continue with the action plan.”
