Nike to layoff about 1% of corporate staff in CEO Hill’s latest business refocus

Nike has revealed plans to cut less than 1 per cent of its corporate workforce—a strategic move by CEO Elliott Hill to refocus operations on sports and culture, according to CNBC and confirmed by Reuters. 

The reductions, which do not affect Nike’s EMEA or Converse divisions, are part of a broader realignment to drive growth and reignite innovation. The company declined to disclose the exact number of jobs impacted, although Nike had approximately 77,800 employees globally—including retail and part-time staff—as of 31 May. 

In a statement to CNBC, Nike said: “As we shared in Q4 earnings, NIKE, Inc. is in the midst of a realignment. The moves we’re making are about setting ourselves up to win and create the next great chapter for NIKE. This new formation is built to put sport and sport culture back at the centre...”

Last February, the company cut 2 per cent of its workforce—more than 1,500 roles—as part of cost-cutting measures amid waning demand. 

Under former CEO John Donahoe, Nike shifted from sport-based segmentation to divisions by men’s, women’s, and kids’, a strategy intended to grow its lifestyle business. Critics argue this shift diluted Nike’s athletic brand identity and stymied innovation. 

Hill is now reversing course, restructuring around “sport-obsessed teams.” As he shared with analysts in June: “Instead of a men’s, women’s and kids construct, Nike, Jordan, and Converse teams will now come to work every day with a mission to create the most innovative and coveted product... for the specific athletes they serve.”

Nike plans to inform impacted staff by 8 September, with most new roles—and any reassignments—taking effect by 21 September. To facilitate this transition, corporate employees in the U.S. and Canada will work remotely for a week.

Earlier fiscal data indicates that Hill’s turnaround strategy may already be yielding results. During June earnings, Nike tipped that the decline in sales and profits is easing, suggesting the worst may be behind the company.

Reuters further notes Hill’s initiative extends beyond internal restructuring to product focus—investing heavily in running shoes and sneakers, reviving relationships with retailers, and expanding physical retail footprints in response to marketplace competition.

While Nike continues this strategic pivot, it also looks to reduce reliance on Chinese manufacturing for U.S. markets, as a hedge against tariff-related disruptions.

This latest staffing reduction underscores Hill’s decisive leadership style and a return to innovation-led growth. However, for employees, the rollout of new structures and shifts in culture will likely define internal momentum in coming months.