Nike Inc. is increasing the salaries of 10 percent of its workforce starting this month.
The pay hike will impact employees “across all levels, geographies, functions and brands” and is geared toward remedying issues of pay equity and corporate culture at the athletic behemoth.
“We are committed to competitive pay,” Nike said in an email statement to FN. “With movement of internal talent, and the demands of a dynamic market, we analyze pay each year. This year we have conducted a deeper analysis of all roles, at all levels globally. As a result, we are making adjustments to some employee pay to ensure that Nike Inc. is more competitive to market.”
As part of the new format, The Swoosh will dole out bonuses based on company-wide performance instead of a combination that previously included team and individual performance.
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Nike’s corporate changes come on the heels of a tumultuous few months for the company. In March, brand president Trevor Edwards abruptly resigned and slew of nine-plus high-level departures followed — creating what many viewed as a #MeToo moment for the company. (At the time, an internal memo from CEO Mark Parker acknowledged that there had been reports of “behavior occurring within our organization that do not reflect our core values of inclusivity, respect and empowerment.”)
After it cleaned house — in addition to promoting several women — Nike has since laid out new initiatives aimed at improving its company culture. For the first time in the company’s history, in April, Nike shared data regarding representation for women and people of color at the VP level. The stats showed that 29 percent of the company’s vice presidents are women, even though the company’s global workforce is evenly split between men and women.
“These results demonstrate that we need to accelerate representation of women and people of color at leadership levels within the company,” Monique Matheson, chief human resources officer, said at the time.
