Nike will be laying off approximately 700 employees from its headquarters in Beaverton, OR according to an October 29 letter the company sent to local and state officials.
The affected employees are not represented by a labor union and will be notified directly, according to Nike.
“As previously noticed in its July 23, 2020, correspondence, Nike Inc. will be permanently reducing its workforce at its world headquarters,” wrote Nike VP Kim Lupo to Beaverton, OR Washington County and state officials. “As of January 8, 2021, approximately 700 employees will have been impacted by this permanent reduction in workforce.”
Nike announced in a statement in July that it planned to take pre-tax one-time employee termination costs in the range of $200 million to $250 million to cover job losses tied to its Consumer Direct Acceleration (CDA) initiative supporting its accelerated digital push. The company employed 75,400 at the end of May, down 1,600 from a year earlier. Nike employs about 13,000 at its headquarters.
“We are building a flatter, nimbler company and transforming Nike faster to define the marketplace of the future,” Nike said in a statement Monday sent to The Oregonian. “The changes are expected to lead to a net loss of jobs, which is always difficult…Through this process, we are leading with our values and are committed to acting with compassion and respect for our employees.”
Nike hasn’t said how many jobs it will cut altogether.
Photo courtesy Nike
