Nike Slashes 1,400 Jobs in Operations and Technology as Part of Turnaround Strategy

April 24, 2026 - 04:42

Nike announced on Thursday that it will cut 1,400 positions across its global operations and technology divisions, marking a significant step in the company’s ongoing turnaround plan. The job reductions, which represent approximately 2% of the sportswear giant’s total workforce, are aimed at streamlining operations and accelerating the modernization of its manufacturing and digital capabilities.

In an internal memo obtained by multiple outlets, Nike executives outlined the rationale behind the cuts, emphasizing a need to refocus resources on high-growth areas such as automation, data analytics, and supply chain efficiency. The company has been grappling with shifting consumer demand, inventory gluts, and increased competition from rivals like Adidas and emerging direct-to-consumer brands. The layoffs are part of a broader restructuring effort that includes consolidating teams and eliminating redundant roles, particularly in back-office functions.

Nike’s CEO stated that the decision, while difficult, is necessary to position the company for long-term success. The memo highlighted that affected employees will receive severance packages and career transition support. The cuts come after a period of sluggish sales growth and a stock price decline, prompting the company to prioritize innovation and cost discipline. Industry analysts view the move as a strategic pivot toward leaner operations, with technology playing a central role in Nike’s future product development and customer engagement strategies. The layoffs are expected to be completed by the end of the current fiscal quarter.