"“We are sharpening our supply chain footprint, accelerating the use of advanced technology and automation, and investing in the skills our teams need for the future,” Nike said in a statement to Business Insider on Monday. The move is a part of CEO Elliott Hill's larger comeback plan, known as the "win now" strategy, which aims to return Nike's revenue to growth. Hill took over the sportswear giant in October 2024 as it faced significant challenges, including declining sales and increased pressure from rivals."
"Nike made previous cuts in 2024 and last year, reducing its corporate workforce by 1% in 2025 as part of its realignment plan under Hill. The senior leadership team also saw a shake-up in 2025, with Nike eliminating the chief technology officer and chief commercial officer roles, among other changes."
"The latest cuts come as concerns that AI will replace human workers grow stronger, with companies like HP and Amazon citing AI-related efficiency as a factor in recent workforce reductions.A recent study by researchers at the Massachusetts Institute of Technology found that AI's skills overlap with over 11.7% of the US labor market."
Nike plans to cut 775 employees across distribution centers in Tennessee and Mississippi as part of a consolidation of its US distribution operations. The company intends to sharpen its supply chain footprint, accelerate the use of advanced technology and automation, and invest in workforce skills. The reductions form part of CEO Elliott Hill's "win now" strategy aimed at returning revenue to growth after Hill became CEO in October 2024 amid declining sales and competitive pressure. Nike previously reduced corporate headcount and reshaped senior leadership, and AI-related efficiency has been cited broadly as a factor in recent layoffs.
Read at Business Insider
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