Adidas Plans Job Cuts to Streamline Operations
Adidas CEO Bjørn Gulden is targeting up to 500 job cuts at the German sportswear retailer's headquarters in Herzogenaurach, a source involved in a meeting where the figure was discussed told Reuters on Thursday. The world's second-largest sportswear maker employs about 5,800 people in the Bavarian town.
German newspaper Manager Magazin first reported the planned job cuts. An Adidas spokesperson declined to confirm the figure but said the company's structure was "too complex for a rapidly changing world."
In recent years, Gulden has begun decentralizing the company, shifting responsibility away from the headquarters and towards individual markets. He has repeatedly stressed that the company needed to get back to growth before addressing personnel matters.
On Tuesday, Adidas reported better-than-expected preliminary figures for 2024, with sales rising 11% and operating profit expected to reach €1.34 billion. The following day, smaller rival Puma announced a cost-cutting program after its 2024 net profit missed expectations.