Nike laying off more than 1,500 workers to ‘reignite’ growth

Nike is eliminating more than 1,500 jobs, or approximately two per cent of its workforce, as it restructures its business.

What’s happening at Nike?

CEO John Donahoe told staff in a recent memo that the layoffs will help the sportswear giant “reignite” its growth.

“This is a painful reality and not one that I take lightly,” Donahoe said in the memo, which was obtained by CNBC.

“We are not currently performing at our best, and I ultimately hold myself and my leadership team accountable.”

The reduction is expected to take place in two phases — with the first phase beginning this week.

Nike plans to complete the second phase by the end of its fiscal fourth quarter, which typically concludes at the end of May.

The company did disclose that the job cuts won’t affect warehouse workers or retail employees at its stores.

SEE ALSO
• Nike to eliminate hundreds of jobs, part of $2B cost-cutting plan
• ‘Quiet Layoffs’: What employees need to know
• What Canadians need to know about ‘loud layoffs’

Impact on Canadian staff

Samfiru Tumarkin LLP is investigating reports that approximately 55 Nike employees in Canada have been let go.

Our employment lawyers are following up with affected staff to better understand the situation.

Termination agreements for Nike Canada employees

In Canada, non-unionized employees at Nike are owed full severance pay when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This includes individuals working full-time, part-time, or hourly in Ontario, Alberta, and B.C.

People working “on contract” or as a contractor may also be owed severance pay — given that many employees in Canada are often misclassified as independent contractors.

Severance can be as much as 24 months’ pay, depending on a number of factors.

WATCH: Employment lawyer Lior Samfiru explains what rights employees have if they are being fired or let go on an episode of the Employment Law Show.

Before accepting a severance offer, double-check the amount using our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their entitlements.

In addition to your salary, make sure to factor in any other elements of your compensation (i.e. bonuses, commission, etc.).

If your employer’s offer falls short of what our Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed and should contact an experienced employment lawyer at Samfiru Tumarkin LLP.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay.

LEARN MORE
• Rights to severance for provincially regulated employees
• Severance packages during mass layoffs
• Severance entitlements in a recession

Major layoffs continue

The job cuts at Nike come amid a flurry of layoffs in 2024.

Big names, including Cisco, Catalent, Mozilla, Instacart, BlackBerry, Enbridge, PayPal, UPS, Microsoft, Rona, eBay, and Wayfair, are significantly scaling back their staffing levels as they continue to navigate challenging economic conditions.

SEE ALSO
• Firm launches $130M class action against Shopify for breach of contract
• Cascades laying off 310 employees, closing Trenton, Belleville plants
• Where are layoffs happening in Canada?

Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have successfully represented tens of thousands of non-unionized individuals.

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.