'This is a painful reality': Nike will lay off 2% of employees

PORTLAND, Ore. (KGW) — Nike is laying off approximately 2% of its workforce starting Friday, the sportswear company said in a companywide email Thursday night.

“This is a painful reality and not one that I take lightly,” said John Donahoe, president and CEO, in the email. “We are not currently performing at our best, and I ultimately hold myself and my leadership team accountable.”

Donahoe said the first round of layoffs will start Friday and go through next week, while the next round will be complete by the end of May.

Nike is one of the region’s largest employers, with more than 15,500 workers in the Portland and Southwest Washington area — and around 83,000 people worldwide. In December, the company announced a $2 billion cost-cutting and restructuring strategy, signaling that there may be layoffs.

It’s likely that most of the layoffs will be at the company’s Beaverton headquarters. Donahoe said in the email that the cutbacks will not impact store employees, store managers or distribution center workers.

“Nike has a proud history where the most challenging moments bring out the best in us, individually and as a team,” Donahoe said. “I know we will come together to respond once again, and I am confident in our future.”