[ad_1]
NIKE has cut staff in its European headquarters as part of a multiyear cost-cutting plan at the world’s largest sportswear company, according to sources familiar with the matter.
The Nike campus in the Netherlands – located in the city of Hilversum, just outside of Amsterdam, and known internally as EHQ – is home to more than 2,000 employees.
Nike is laying off about 2 per cent of its global workforce as part of a plan to slash US$2 billion in costs. About 750 employees were let go at its global headquarters in Beaverton, Oregon. Converse, a Nike subsidiary in Boston, also eliminated some staff.
Chief executive officer John Donahoe said in an internal memo distributed to workers in February that the planned cuts in Europe, the Middle East and Africa would take place on different timelines than those in its home market.
The staff cuts in North America occurred in two phases earlier this year, starting in February, but dismissals in Europe did not occur until recently due to differences in local labour laws.
Nike does not break out financial results for its European market. Europe, the Middle East and Africa accounted for about US$13.4 billion in revenue for Nike, or around 26 per cent of its global sales, last year.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
A Nike spokesperson referred on Tuesday to a company statement issued in February: “The actions that we are taking put us in the position to right-size our organisation to get after our biggest growth opportunities as interest in sport, health and wellness have never been stronger.” BLOOMBERG
[ad_2]
Source link
