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Nike to lay off 740 employees at Oregon headquarters

Published 04/19/2024, 04:57 PM
Updated 04/19/2024, 05:01 PM
© Reuters. FILE PHOTO: The Nike swoosh logo is seen outside the store on 5th Ave in New York, New York, U.S., March 19, 2019.   REUTERS/Carlo Allegri/File Photo
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(Reuters) - Nike (NYSE:NKE) will lay off about 740 employees at its world headquarters in Oregon, a letter showed on Friday, as the top sportswear maker looks to rein in costs after warning of a revenue dip in the first half of fiscal 2025.

The "second phase of impacts" would begin by June 28 at its headquarters, Michele Adams, Nike's vice president for people solutions, said in a legally mandated notice to state authorities.

The company's shares were up marginally in after-hours trading. They have declined nearly 13% this year.

Nike had in December announced a cost savings plan for $2 billion over the next three years, and in February said it would cut about 2% of its total workforce, or more than 1,600 roles.

It had about 83,700 employees as of May 31, 2023.

© Reuters. FILE PHOTO: The Nike swoosh logo is seen outside the store on 5th Ave in New York, New York, U.S., March 19, 2019.   REUTERS/Carlo Allegri/File Photo

Several companies in the U.S. and Canada have announced new rounds of layoffs, following the spate of reductions in 2023, to cut costs in the face of an uncertain demand environment.

Nike in March flagged its revenues in the first half of fiscal 2025 would shrink by a low-single-digit percentage as it looks to scale back on some franchises.

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