An internal memo from Nike-owned Converse’s CEO Aaron Cain, obtained by Bloomberg, indicated the brand is making “difficult decisions” that will include “saying goodbye to friends and teammates.”
The report notes that several senior executives at Converse were also departing. Aside from the layoffs, the brand is also looking to add new roles and reshuffle internal teams for some employees, per the report.
Converse employees were reportedly asked to work from home this week as the brand implements the reported internal changes.
The company reportedly plans to hold an all-team meeting later this month.
The timing of the report comes as Converse has struggled to revive sales growth. In its recent fiscal second-quarter results, the company’s revenues declined 30 percent on a reported basis and 31 percent on a currency-neutral basis, reaching $300 million with annual sales heading for a 15-year low. The company said performance reflected declines in sales across all territories.
Image courtesy Converse
