Nike announced that it will reduce its corporate workforce by less than 1% as part of Chief Executive Officer Elliott Hill’s efforts to reposition the sportswear giant.

The company, which employed approximately 77,800 people worldwide as of May 31, stated that the layoffs will not impact its EMEA operations or Converse unit. It did not specify how many jobs would be impacted.

Hill, who took over this year, has been focusing on strengthening Nike’s running shoe and sneaker lines, restoring ties with retailers, and investing in physical stores to counter mounting competition. The job cuts follow his plan to reorganise the business into cross-functional teams by sport, aimed at putting “sport and sport culture back at the centre” of Nike’s strategy.

The restructuring follows Nike’s reduction of its workforce by approximately 2%—more than 1,600 jobs—in February 2024, amid weaker demand. The company has also pledged to reduce its reliance on China for production destined for the US market to offset tariff risks.