Nike Plans to Cut 745 Jobs by The End of This Month

Nike’s plans to cut 2 percent of its workforce begins to take shape as 745 people will be laid off in Oregon by the end of the month, according to an Oregonian report.

The 490 lay-offs expected to happen this month, come in a second wave to the firing of 255 Oregon jobs in July.

Despite being on the cutting edge of technology, and its recent efforts to promote transparency and combat workers’ rights issues, the athletic-giant continues its plans to downsize its workforce.

The headquarters’ series of lay-offs accounts for almost half of the proposed 1,500 announced as a part of the brand’s new strategy, which plans to cut both work force and shoe styles in an effort to connect with consumers and fight softening sales.

“In June 2017, we announced that we will be shifting to the Consumer Direct Offense, a new company alignment that allows Nike to better serve the consumer personally, at scale,” wrote Marc Bohn, a Nike vice president, in a letter to the state obtained by the Orgonian. “As part of that restructuring, Nike undertook workforce reductions in July and is now implementing an additional round of workforce separations.”

Despite Nike’s current rank among top athletic brands, the company sees falling shares and sales, propelling the business to take note of the market and focus more on direct-to-consumer business.

As of Friday afternoon, Nike shares were down 0.35%.

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