Nike is set to reduce its workforce as part of a broader restructuring programme aimed at generating about $2.5 billion in cumulative savings through fiscal 2031, as the sportswear company continues its efforts to turn around the business.
The company has not disclosed the number of jobs that could be eliminated. However, Nike said its new Pace operating model will alter the size and structure of its workforce as it looks to streamline operations, remove duplication and shift resources towards priority areas. Elliott Hill,
president and CEO, Nike, said the restructuring would involve adding capabilities in some parts of the business while eliminating overlapping roles elsewhere. Over time, the changes are expected to reduce the overall number of positions across the company.
Pace builds on Nike’s cost realignment plan announced in March 2026. The company expects most of the programme’s $2.5 billion in savings to be realised during fiscal 2029 and 2030, with the full impact extending into fiscal 2031.
The restructuring is expected to result in about $1 billion in pre-tax charges through fiscal 2031, primarily related to employee costs. This includes around $300 million in severance charges already recognised in fiscal 2026. Nike expects to record another $300 million of restructuring charges in fiscal 2027, although the final amount will depend partly on local legal requirements.
Nike is also seeking to reduce management layers and give more decision-making responsibility to local teams. The company is establishing a new campus in Bengaluru, India, with full-time employees working across multiple functions and supporting teams globally.
Nike is expected to provide further details on the restructuring and its longer-term growth strategy at its Investor Day in November.
