(Reuters) – Nike (NYSE:) will lay off about 740 employees at its world headquarters in Oregon, a letter showed Friday, as the largest sportswear maker looks to rein in costs after warning of a sales decline in the first half of fiscal 2025.
The “second phase of impact” would begin at headquarters on June 28, Michele Adams, Nike’s vice president of people solutions, said in a regulatory notice to state authorities.
The company’s shares rose marginally in after-hours trading. This year they are down almost 13%.
Nike had announced a $2 billion cost-cutting plan over the next three years in December, and said in February it would cut about 2% of its total workforce, or more than 1,600 jobs.
As of May 31, 2023, it had approximately 83,700 employees.
Several companies in the US and Canada have announced new layoffs, following the wave of cuts in 2023, to reduce costs in the face of an uncertain demand environment.
Nike reported in March that its revenues would shrink by a low single-digit percentage in the first half of the 2025 fiscal year as it appears some franchises will be scaled back.
