Nike Announces Layoffs of 1,600 as Part of $2B Restructuring Amid China Sales Slowdown
• Nike announcing layoffs of 1,600 people, about 2% of its workforce, as part of a $2 billion restructuring plan over 3 years
• Layoffs aimed at freeing up money to invest in running, women’s apparel, and Jordan brand
• Investors seeming unimpressed, with stock down 2.3% YTD, indicating concerns about growth outlook, especially in China
• Other consumer companies also reporting softness in China demand recently (Burger King, Levi's, Procter & Gamble)
• Nike gets 15% of sales from China; weakness there causing blowback and job cuts in U.S.