Nike (NKE, Financial), the American sportswear giant, has laid off several employees as part of a restructuring in its technology department, according to informed sources. The layoffs have impacted staff within the company's strategic enterprise and corporate functions, which are responsible for overseeing key business processes. As part of this restructuring, Nike is transferring some work to third-party vendors. A spokesperson for Nike confirmed the departure of tech personnel.
Nike's technology department has faced challenges in recent years. In 2023, the company’s Chief Digital Information Officer departed following bribery allegations, which led to a lawsuit filed by a former employee in Oregon. Nike's strategy to reignite growth involves refocusing on sports and wholesale channels. However, progress has been hindered by trade tensions under former U.S. President Donald Trump and unstable consumer spending in the U.S. domestic market.
As of the latest market close, Nike's stock has declined by 18% year-to-date, while the S&P 500 index has risen by 1.4% during the same period.
