On September 1, 2017, Nike submitted a WARN notification with the state of Oregon. According to the WARN notification, Nike will soon carry out a mass layoff in the city of Beaverton. In total, the layoffs will affect 745 workers. In the letter to the Oregon Rapid Response Coordinator, Nike reminded state officials that the company had added roughly 3,800 employees to the state between 2012 and 2017.
The company announced that it would be shifting to the Consumer Direct Offense in June of 2017. This unique approach will allow Nike to better serve the consumer personally at scale. The restructuring will also see Nike take steps to reduce its workforce. An additional round of workforce separations will impact the company’s facility located at One Bowerman Drive in Beaverton, Oregon.
Nike believes that the workforce reductions will be permanent, but the entire facility will not be closed. Nike anticipates that the employment separations will begin or occur on September 30, 2017. 255 employees were affected during the company’s layoffs in July and approximately 490 more employees are expected to impacted by the upcoming layoffs.
None of the impacted employees are represented by a labor union and do not have bumping rights. In other news, Nike has also taken steps to downsize its operations in India. The company has shut down its cricket bat sponsorship deals and has fired 20 percent of its Indian workforce.