Taking a page out of the operational handbook of the tech industry, Nike is all set to conduct layoffs in 2026, with a goal to reposition the company for future growth. Nike’s restructuring plan is expected to affect 1,400 roles primarily in the technology department, painting an uncertain picture of what’s to come. For the most part, businesses appear to be getting more comfortable with automating roles across their operations, and contrary to expectations, IT workers have been affected significantly by the change. It’s unclear if similar automation plans have led the company to target tech teams first. However, we do know that the Nike job cuts for 2026 are expected to bring the company one step closer to fulfilling its “Win Now” turnaround strategy.
This marks Nike’s second round of layoffs in 2026, with the cuts expected to affect 1,400 workers, primarily in the technology division. (Image: Pexels)
The “Just Do It” Mindset Isn’t Always A Welcome One: Nike Confirms Layoffs in 2026
Emerging reports show that Nike is expected to cut 1,400 jobs across its global operations, primarily affecting technology roles in North America, Asia, and Europe. According to Reuters, this decision will affect less than 2% of its total workforce but marks a step forward towards resolving “a years-long sales slump.”
Employees affected by the layoffs began receiving notifications from Nike on Thursday, but a timeline for completing the cuts was not revealed. Not too much has been said with regard to the severance packages on offer for those hit with the layoffs, but Nike did add that it would work to be direct and provide employees with clear information and support through the transition.
Despite the sportswear brand’s notoriety, the company has reportedly been struggling with keeping its sales numbers up and driving interest in the brand’s latest offerings. As a result, this phase of the Nike restructuring layoffs isn’t the first such strategy implementation this year, and many worry that it will not be the last.
Nike’s Global Reset Strategy Takes Shape with a Smaller Workforce to Steer the Ship
COO Venkatesh Alagirisamy informed employees in a memo that the layoffs were part of the company’s overall “Win Now” turnaround strategy to enhance the tech team, modernize certain manufacturing systems, and implement changes to Converse Footwear operations with improved supply chain integrations. “Across the company, we have been taking deliberate steps to strengthen our foundation, sharpen how we compete, and build a model designed to deliver long-term profitable growth,” the COO explained.
“Over the coming months, we will continue evolving global operations to better serve athletes and the business with more speed, simplicity, and precision,” Alagirisamy wrote in the note. “Some of that work is happening now, and more will continue over time as we align our teams, capabilities, and footprint to the future needs of the company.” The COO alluded to the possibility of significant changes across global operations in the coming weeks, including possible changes to team structures, work locations, and, of course, headcount.
Many businesses appear to have the same set of priorities as Nike: modernizing operations and testing organizational performance with a leaner, more “agile” workforce.
This Marks Nike’s Second Round of Large-Scale Job Cuts in 2026
Back in January, Nike announced layoffs centered on its U.S. distribution operations, primarily affecting employees in Tennessee and Mississippi, where a significant number of warehouses are currently located. About 775 employees were hit with the cuts, and at the time, CEO Elliott Hill’s “Win Now” strategy was similarly the primary explanation for the layoffs alongside automation goals.
Prior to this, the company downsized by 1% in August 2025, targeting its corporate workforce. It also cut 2% of its workforce in February 2024, leading us to see this as a yearly strategy for the company.
Stepping back to look at the bigger picture, it’s clear that employers are committed to the idea of shrinking operations to achieve better results, but only time will tell how effective these strategies are in the long term. From the banking sector to entertainment and media, we are now faced with a weekly roundup of layoff news across the U.S., which sets an unpleasant tone for the future of work. There are positive ways to spin the story at hand, however, these reports are sparking concerns across the job market today.
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