Nike plans to axe 1400 jobs as the sports giant makes several “significant changes” to its global operations over the coming weeks.

The majority of job cuts will be in technology, the company said, adding that affected employees will hear directly from their leaders and HR partners starting Thursday. 

Management will also work to make sure the impacted staff have clear information and support through this transition. 

The company described the job reduction as a result of several upcoming changes to its global operations, aimed at strengthening its foundation, sharpening its competitiveness, and building a model designed to deliver long-term profitable growth.  

The initiatives will include technology modernization, in which the company will consolidate its technology footprint, streamline its structure, and double down on the locations, with a focus on two strategic hubs – Philip H Knight Campus and Nike India Technology Center.  

The company will also enhance operations at its Air manufacturing innovation facilities in Beaverton, St Louis, and Vietnam, as well as move some Converse manufacturing and engineering resources closer to factory partners.

In addition, the retailer will position materials work closer to its footwear and apparel supply chain teams, enabling faster and more synchronized decisions across its manufacturing network.

“These changes are meant to make the company less complex and more responsive,” said Venkatesh Alagirisamy, EVP and COO.

“As we look ahead, that means simplifying parts of how we operate, using more advanced automation where it helps us work better, and building an even stronger end-to-end foundation for future growth.”

Nike recently reported a 3 per cent decline in sales for the third quarter, driven by weak performances across Europe, the Middle East, Africa, and Greater China.