Nike plans to cut 775 positions at its distribution centers in Tennessee and Mississippi, US, as it seeks to improve profitability and expand automation, according to a report by Reuters.

The cuts will largely affect warehouse-based jobs at the sportswear group’s facilities in the two states.

The move comes after a series of workforce reductions in recent years as Nike tries to rebuild market share ceded to competitors.

In August, the company cut just under 1% of its corporate staff as part of a turnaround overseen by CEO Elliott Hill, who took the helm in 2024.

In February 2024, Nike he said he would cut 2% of the positions, which add up to more than 1,600 positions.

In a statement to ReutersNike said it was “taking steps to strengthen and streamline our operations so we can move faster and (and) operate with more discipline,” noting that the changes would primarily affect its U.S. distribution network.

The company added that the measures were intended to “reduce complexity, improve flexibility and support our path to long-term profitable growth.”

Under Hill’s leadership, the group has increased investment in its footwear ranges and refocused on core sports such as running and football.

Nike informed a second straight quarterly decline in gross margins in December, pointing to softer demand in China and efforts to rebalance its product line, and also disclosed a recent data breach in which hackers released corporate information.

The latest cuts are part of a wider restructuring program aimed at restoring the company’s profitability.

In December 2025, Nike remodeled its senior leadership structure as part of its broad “Win Now” change strategy.

The company introduced a new chief operating officer (COO) role and elevated the leaders of its four geographic regions to the senior management team.

At the same time, Nike eliminated the positions of chief technology officer (CTO) and chief commercial officer (CCO) and placed its global sales and direct-to-consumer operations under the responsibility of its chief financial officer (CFO).

“Nike to cut 775 US warehouse jobs in automation push-in report” was originally created and published by Retail Insight Networka trademark owned by GlobalData.

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