Skip Header
Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

Nike to axe over 1,600 jobs as it trims its expenses

(Sharecast News) - Sportswear giant Nike announced plans to reduce its workforce by about 2% overnight, equating to more than 1,600 jobs, as part of a cost-cutting initiative following a year of weaker profits. According to Reuters, the moves came after Nike unveiled a $2bn cost-saving strategy spanning three years in December, which included measures such as streamlining product supply, enhancing the efficiency of its supply chain, restructuring management hierarchies, and augmenting automation processes.

It also disclosed its expectation of incurring between $400m and $450m in employee severance expenses during the third quarter.

According to a company filing, Nike boasted a workforce of around 83,700 employees as of 31 May 2023.

The Wall Street Journal reported that the impending job cuts were set to commence imminently, with an initial phase expected to begin on Friday and a subsequent phase set for completion by the conclusion of the current quarter.

Reuters said the announced layoffs were not anticipated to affect personnel working in retail stores, distribution centres, or the company's innovation team.

Reporting by Josh White for

Share this article

Related Sharecast Articles

Unilever to cut third of office roles in Europe - report
(Sharecast News) - Unilever is reportedly planning to cut a third of all office roles in Europe by the end of next year, as the company's new chief executive forges ahead with his plan to boost growth at the struggling consumer goods giant.
BHP and Vale ink deal on UK group action for 2015 Brazil dam breach
(Sharecast News) - Iron ore miner Vale has agreed to pay half of any awards to claimants as part of the UK group action against BHP for the 2015 failure of the Fundao dam in Brazil.
JP Morgan reports big jump in Q2 revenues and profit, but cautions on tail risks
(Sharecast News) - JP Morgan posted big increases on both its top and bottom lines, even as its boss continued to call attention to the potential risks on the horizon.
Months of AT&T call records exposed in data breach
(Sharecast News) - American telecoms giant AT&T revealed on Friday that the call and text logs of its customers were hacked between May and October 2022, and said that at least one person has been arrested.

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

Award-winning online share dealing

Search, compare and select from thousands of shares.

Expert insights into investing your money

Our team of experts explore the world of share dealing.