Sportswear giant Adidas has reportedly laid off nearly half of its workforce at its technology hub in Gurugram, according to media reports. The Gurugram tech hub in Sector-32, which was launched in 2021 to attract and develop technology and engineering talent for Adidas products, had around 700 employees.
The decision to lay off almost half of the workforce was announced by the Adidas management during a town hall held on Tuesday, September 15, following which the affected employees were handed exit letters.
The layoffs, affecting roughly 45% to 50% of the hub’s workforce, include software engineers, data scientists and data engineers, according to people familiar with the matter.
Adidas confirms layoffs, reveals reason
Adidas has confirmed that it is reducing its workforce in India, describing the move as a “difficult decision” aimed at streamlining its operations and aligning its technology organisation with the evolving needs of the business.
“As part of our ongoing efforts to align our operating model with the evolving needs of the business, we have made the difficult decision to reduce a number of roles within our Technology organisation in India,” Adidas said in a statement to Wocult.
“These changes are intended to simplify parts of our organisation, strengthen critical capabilities, and position adidas for long-term success in a rapidly evolving business and technology environment,” the company added.
The company said it was “deeply grateful” to employees for their contributions and would support those affected by the layoffs with “care, respect, and appropriate transition assistance”.
According to reports, the affected employees have been divided into two groups. While some employees received their exit letters on September 15, a second group is expected to continue with the company until December 15 to complete knowledge transfers and hand over their responsibilities.
Job cuts in tech sector
The Adidas layoffs come amid a broader wave of job cuts across the technology sector. Oracle has also reportedly begun another round of layoffs as part of a wider restructuring exercise, with affected employees allegedly informed on September 14 that their positions were being eliminated.
Oracle has not disclosed the number of employees affected globally in the latest round of job cuts. However, some media reports have suggested that the impact in India could run into thousands, although the exact figure remains unclear.
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