Reebok Lays Off Employees Amid Footwear Restructure
The company behind Reebok‘s operations is laying off employees in the brand’s footwear business as it reworks the licensing strategy for the brand, reports FootwearNews. SPARC Group, the joint venture between Authentic, Simon Property Group, and Shein that runs Reebok’s U.S. operations, has reorganized the athletic brand's footwear business as it looks to transfer licenses to new partners and focus more deeply on apparel. Authentic did not confirm which specific footwear divisions were impacted by the cuts, but employees in merchandising, design, product management, talent acquisition and innovation shared on LinkedIn this week that their roles had been eliminated due to a restructuring at Reebok.
The news represents the latest turmoil to plague the heritage brand. Earlier this month, Authentic terminated its license with New Guards Group (NGG), a division of Farfetch, to distribute Reebok footwear and apparel in Europe. Under the terms of the former deal, NGG had operated the European operations of Reebok’s branded retail stores and e-commerce, and worked to drive wholesale distribution for the label.
Total Retail's Take: It's not all bad news for Reebok. The brand has expanded greatly since its days under Adidas, when it was left largely to languish. When Authentic acquired Reebok in 2022, CEO Jamie Salter outlined a goal for the brand to hit $10 billion in annual retail sales globally within the next five years. Authentic swiftly expanded Reebok’s distribution partners and built deeper relationships with retailers such as Macy’s. At the beginning of this year, Salter announced Reebok had already exceeded $5 billion in revenue and planned to hit $10 billion in the next three years. Even with footwear job cuts and restructuring, it seems Reebok is on a growth trajectory.
- People:
- Jamie Salter
Kristina Stidham is the digital content director at Total Retail and sister brands Women in Retail Leadership Circle and Women Leading Travel & Hospitality at NAPCO Media. She is passionate about digital media and handles video, podcast and virtual event production for all brands. You can often find her at WIRLC, TR, WLT&H or industry events with her camera and podcasting equipment—or at home on Zoom—recording interviews with thought leaders and business executives.
Kristina holds a B.A. in Media Studies and Production from the Temple University Klein College of Media and Communication in Philadelphia. Go Owls! When she's not in the office, she loves to go on long walks, sing around the house, hangout with her family and two pet guinea pigs, and travel to new places.
