Sportswear Adidas is the latest brand to join the layoff wagon as it removes 50 per cent of its employees in India’s Gurugram, with software engineers, data scientists and engineers in the list.
While it officially confirmed the layoff news, there has been no official count on the employees being laid off.
In its statement, Adidas called the layoff a “difficult decision”. It called the move a part of its ongoing efforts to align its operating model with the changing needs of the business.
“We are deeply grateful to our colleagues for their many contributions to Adidas. We are committed to supporting our impacted colleagues with transition assistance during this time,” the company said in the statement.
Further, it added that the changes are intended to simplify parts of the organization, strengthen critical capabilities and position Adidas for long-term success as the business and technology environment evolves, as per the report.
According to sources, an estimated 350 or more employees of the 700 workforce at the Adidas India tech hub in Gurugram are expected to be affected. The report further mentions that the employees were informed about the cuts during a town hall on September 15. The affected employees are divided into two groups, some who would receive the exit letters on the same day, while another group, which has been asked to remain with the company until December.
There is no detail on the severance package, notice pay or redeployment support yet.
In its latest move, Adidas has decided to expand its operation beyond Gurugram, including opening a global business service center in Chennai.