Nike discloses 'second phase' of job cuts at its headquarters amid cost-savings efforts

By Bill Peters

More than 700 staff at Nike's global headquarters in Oregon will have been laid off by June 28, company says

Nike Inc. on Friday said that some 740 employees at its global headquarters in Oregon will have been laid off by June 28, as the sports-apparel giant tries to trim expenses amid weaker sneaker demand.

The company disclosed the job cuts in a notice to the state. At the end of May of last year, Nike had around 83,700 employees, including retail and part-time workers, according to its annual report.

Michele Adams, Nike's vice president of people solutions, wrote in the notice that the figure represented the total resulting from a "second phase of impacts" at its Beaverton, Ore., headquarters.

"As a result of a second phase of impacts, which will take effect by June 28, 2024, approximately 740 employees at [Nike's world headquarters] will have been impacted by this and the recent prior permanent reduction of workforce," the notice said.

"Nike will provide the job titles and the number of affected employees in each impacted job category upon request, once determined," it continued.

Shares of Nike (NKE) were down 1.3% on Friday, and are down more than 24% over the past 12 months.

Nike has been cutting jobs over the past few months and has said it is targeting up to $2 billion in cost cuts over the next three years. The company is attempting to fight subdued demand by rolling out new products - including expanded offerings under its Jordan brand and more sneakers with its Air cushioning.

After struggles in its digital business, Nike has said it plans to concentrate more on making its displays at stores of outside retailers more attractive to shoppers. However, some analysts think that the upcoming Summer Olympics could give its business a boost.

-Bill Peters

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

04-19-24 1637ET

Copyright (c) 2024 Dow Jones & Company, Inc.