economy

January 26, 2026

Nike to cut 775 employees as it accelerates 'automation' at U.S. distribution centers

Nike is cutting 775 employees, primarily from jobs at distribution centers in Tennessee and Mississippi.

Nike to cut 775 employees as it accelerates 'automation' at U.S. distribution centers

TL;DR

  • Nike is cutting 775 employees, adding to 1,000 cuts from last summer.
  • The layoffs primarily affect distribution center roles in Tennessee and Mississippi.
  • These actions are aimed at reducing complexity, improving flexibility, and creating a more efficient operation.
  • Nike plans to accelerate the use of advanced technology and automation.
  • The cuts are part of Nike's goal to achieve long-term, profitable growth and improve margins.
  • The move follows a period of slowing sales and shrinking margins under CEO Elliott Hill.
  • Distribution center staffing had previously ballooned under a direct selling strategy, but current volume does not support these levels.

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