Nike's layoffs extend to Converse as company implements cost-cutting plan - Hindustan Times
close_game
close_game

Nike's layoffs extend to Converse as company implements cost-cutting plan

Bloomberg | | Posted by Tuhin Das Mahapatra
May 15, 2024 11:07 AM IST

Nike's cost-cutting plan leads to job cuts at Converse, impacting over 700 employees at Oregon headquarter.

Converse is cutting some jobs as parent company Nike Inc. trims its staff across divisions in search of cost savings.

Paris 2024 Olympics - Nike Olympics Products Launch - Paris, France - April 11, 2024 The Nike Alphafly 3 running shoe is displayed during the launch REUTERS/Stephanie Lecocq(REUTERS)
Paris 2024 Olympics - Nike Olympics Products Launch - Paris, France - April 11, 2024 The Nike Alphafly 3 running shoe is displayed during the launch REUTERS/Stephanie Lecocq(REUTERS)

Nike is undergoing a $2 billion cost-cutting plan that includes slashing 2% of its workforce. Layoffs have hit its Oregon headquarters across two rounds, with the process expected to conclude by the end of its fiscal year, according to an internal memo reviewed by Bloomberg News.

Unlock exclusive access to the latest news on India's general elections, only on the HT App. Download Now! Download Now!

Nike says job cuts at Oregon headquarters to total more than 700.

ALSO READ| Nike nears eight-figure deal with basketball sensation Caitlin Clark ahead of pro debut

Converse confirms workforce changes amid Nike's 2% reduction plan

Converse, based in Boston, operates its own product-development, supply-chain and marketing functions specific to its business. The brand does use technology from Nike in its products.

Converse “is realigning some of our teams to better support future growth,” a spokesperson for the unit said in a statement Tuesday. “We can confirm that the total changes to Converse’s workforce were included in Nike’s overall 2% reduction plan, however, we were operating on a discrete timeline.”

Nike had nearly 84,000 employees worldwide as of last May. Converse, known for its Chuck Taylor and One Star sneakers, represents about 5% of Nike’s total sales.

SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Tuesday, May 28, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On