Foot Locker will lay off an unspecified number of employees in corporate and support roles with the goal of saving $18 million annually, according to a filing with the SEC. Additionally, the retailer will wind down its Sidestep banner in Europe to better enable it to focus on its core businesses.
The cuts are part of Foot Locker’s plans to “simplify the business” and put a greater emphasis on omnichannel operations, according to CEO Mary Dillon. The strategy was announced in November 2022 and included plans to reduce the number of global banners the company operates, including winding down two joint ventures in Europe. Additionally, Foot Locker sold its school-focused Eastbay Team Sales division to BSN SPORTS in June 2022.
The effort also included sweeping changes to Foot Locker’s C-suite in December 2022. Multiple new executives were hired or promoted to help Foot Locker separate its commercial functions from supply chain and IT businesses, and CFO Andrew Page announced plans to leave at the end of the year. Changes are still being made, and EVP of Global Lockers and Champs Sports Andrew Gray also has reportedly left the company, according to media reports.
Retailers across the industry are trimming their workforces as they aim to bolster the bottom line against inflation and other economic challenges. Other companies that recently laid off workers include: