Nike announces layoffs after COVID-19 losses

MANILA, Philippines – Nike will be laying off employees following losses due to the novel cornavirus (COVID-19) pandemic.

According to Complex, Nike CEO John Donahoe sent a company-wide email on Thursday (Friday, Manila time) saying that the brand will soon be "forced to make some difficult choices".

Donahoe said these choices would "likely result in a net reduction of jobs" in the company.

Nike posted a net loss of $790 million in its latest quarterly earnings report on the same day of the email.

Donahoe said that the reductions in staff would "not be done for cost reasons", rather as a remedy to the "overburdened matrix" the company has become.

The executive said the cuts will simplify how Nike works and increase speed and responsiveness.

The email, however, offers few details with who among the brand's thousands of employees will be affected.

As of writing, there is no clear figure on how many workers will be affected by the layoff.

Employees at Nike's retail stores, distribution centers and manufacturing facilities are not expected to be cut.