Nike’s $2 Billion Cutback Plan: 1,600 Jobs Slashed

Sportswear giant Nike plans to cut over 1,600 jobs, or 2% of its workforce, in a cost-cutting strategy to combat weak profit forecasts. The company aims to save $2 billion over three years through measures such as supply reduction, streamlined management, and increased automation. This move comes in response to reduced consumer spending on non-essential items. Severance costs are estimated to be $400 million to $450 million. However, Nike's decisive action demonstrates its determination to navigate the challenging business landscape and position itself for future resilience.