Thread regarding Nike Inc. layoffs

Millions in Executive Compensation While Shareholder Value Collapses - Where Is the Accountability?

How do members of the executive “senior leadership” team justify collecting millions of dollars in compensation, bonuses, and RSUs while presiding over the destruction of shareholder value?

At what point does executive compensation become disconnected from actual performance and results?

Employees and shareholders are expected to absorb the consequences of poor performance, yet those at the very top continue to be rewarded handsomely. Where is the accountability? Where is the Board's oversight?

Leadership isn't measured by titles, compensation packages, or the number of RSUs awarded. It's measured by results, sound decisions, and the value created for shareholders. But look at all the promotions and musical chairs at the top. All kool-aid drinking.

If the stock continues to suffer while executive compensation remains extraordinary, perhaps it's time to ask whether leadership is being rewarded for performance - or simply for occupying the executive suite.


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| 420 views | | 18 replies (last October 13) | Reply
Post ID: @OP+1m4ptnewe

18 replies (most recent on top)

@e3

they are the same suit, labaton is the lead counsel so you (or your counsel if you already have one) can reach out to them to report if you have material information.

Judge Nelson dismissed all the claims apart from JDs lies about innovation earlier this year without prejudice, meaning they can be revived if the plaintiff's counsel receives new material information.

Since Nike asked to merge the Jenell derivative action to this case, with your help they can ask to amend and file a third amended complaint.

Just download everything and ask an LLM to summarize everything. Almost the entire docket can be reached here:

https://www.courtlistener.com/docket/68945222/in-re-nike-inc-securities-litigation/

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Post ID: @fy+1m4ptnewe

@ev Hey Boomer (and/or Dave Ramsey disciple) STFU,

Sharing about the details behind all THE LAYOFFs at Nike is the point here. The irony of your post is striking. You criticize others for being emotional and dismissive while responding with personal attacks, financial assumptions, and a remarkable lack of substantive argument.

Let's separate facts from rhetoric. Questioning corporate decisions, executive compensation, and the unequal consequences of layoffs isn't envy, entitlement, or a failure to take personal responsibility. It's legitimate scrutiny of accountability, governance, and how economic risk is distributed.

An employee's mortgage balance, car payment, or personal debt has absolutely no bearing on whether a layoff was justified, responsibly executed, or ethically managed. That's a classic ad hominem diversion: when you can't effectively challenge the argument, attack the person making it.

And let's be clear: offering unsolicited advice doesn't automatically make it wise, relevant, or constructive. Disagreeing with someone's advice isn't arrogance, and calling criticism "negativity" doesn't make the underlying issues disappear.

At a time when corporate restructuring, workforce instability, executive compensation, and economic insecurity are legitimate national concerns, thoughtful discussion requires more than personal insults disguised as tough love.

You can believe in individual accountability while also demanding institutional accountability. Those principles aren't mutually exclusive. In fact, intellectual consistency requires both.

If you have a substantive argument, make it. Otherwise, the indignation, speculation, and personal attacks merely illustrate the very behavior you're condemning.

Confidence is not evidence. Condescension is not wisdom. And personal attacks are not a substitute for reason.

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Post ID: @ez+1m4ptnewe

@ek

Yes, you know it all!
That's why you're here on a layoff board, wringing your hands in worry and angst, wondering and waiting for the layoff axe to fall, while screaming into the void about how horrible and unfair it is that millionaires with golden parachutes have it so much better than you ever will.

Ridiculous.

How much underwater are you with your house?
Is your car paid off?
How much debt in total are you currently carrying?

When freely given encouragement and practical suggestions to improve your outlook and situation, you batted it away, sneering at kindness with arrogant dismissiveness.
Ironic that you signed off with "Karma is a b!tch" because the only person racking up bad karma for themself here is YOU.

Have a Nice Life.

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Post ID: @ev+1m4ptnewe

@ed ok boomer
Who made you my financial adviser, therapist and spiritual counsel all in one? If I need advice I'll ask for it.

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Post ID: @ek+1m4ptnewe

@e6

I hear you, and it's true that the disparity is nothing short of outrageous.

However, you can't change the system, and acceptance is key.
You're not going to guilt narcissists into having empathy, or for them to share equally in the spoils that they so greedily rig for themselves.
Sick as it is, it IS what it is, y'know?

Don't even waste energy comparing your salary or lifestyle to theirs.
Don't be envious or angry about it.
Just find your own happiness with whatever you can carve out for yourself and your loved ones in this world, and be a person you are proud of and content with.

Live below your means.
Not above, and not even within...BELOW.
That way, if you get laid off or other misfortunes happen, the blow won't be so severe.

Things are changing fast.
Nothing is guaranteed.
People literally are being deemed as being obsolete...not just jobs, but people!
Get out of debt, live below your means, and figure out multiple ways where you can cut corners in spending and get various streams of independent income flowing. Grow/cook your own food, and don't buy into the keeping up with the Jones' hype.

Now is not the time for designer anything, travel, frivolous yearnings, or vanity spending, and it's not just around the holidays, either.
Be smart with your money every day., and don't waste it.
Tighten your belt, and take care of business on the homefront first.

Don't be envious of greedy pigs.
You're of no concern to them, so don't let them be of any concern to you.

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Post ID: @ed+1m4ptnewe

TH who heads HR pulls in freaking 12 million a year. That's a million every. Single.month!! Most of us don't make that in... Ever?
She's the most uninspiring unimpressive person there is on LT. Not to mention employee motivation, employee career development at Nike is a JOKE, her one job!
How the he-l do these people look themselves in the mirror!?
I'm not even talking about fairness.. I'm talking accountability.
No wonder Nike is in the sh-t it's in. Even as they can the little people and ship jobs overseas, do you think these fat cats will give up their wildly inflated packages.
And don't you dare fu--ing tell me it's in stock mostly. It's still worth more money that many of us will see even as we pinch pennies and wonder where to cut over the holidays. Fu-k you EH, VA and the rest of LT.

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Post ID: @e6+1m4ptnewe

@db so you’re referring to:

https://www.cohenmilstein.com/case-study/in-re-nike-inc-securities-litigation/

and

https://www.labaton.com/cases/in-re-nike-inc-securities-litigation

yawn

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Post ID: @e3+1m4ptnewe

@dd

  1. SEC Whistleblower Information
    We are seeking information on the following key areas regarding potential SEC disclosures and misstatements:

Leadership Awareness: Participation in leadership forums where executives disclosed or acknowledged awareness that the Consumer Direct Acceleration (CDA) strategy was failing prior to 2024.

Asset & Capital Allocation: Material details regarding investments made during this period into long-lived assets (e.g., property, equipment, and software).

Financial Manipulation: Access to artificial/bogus financial models or directives to manipulate revenue and "cook the books."

Profitability Metrics: Exposure to internal profitability metrics demonstrating that Direct was less profitable than Wholesale, and evidence that leadership actively covered this up.

MD&A Misstatements: Any misstatements or omissions in Management’s Discussion and Analysis (MD&A) disclosures that fall outside Safe Harbor protections.

Consulting Engagements: Exposure to work performed by external consultants, such as Bain & Company engagements post-RAT that led to the "Next%" initiative.

  1. Class & Derivative Actions
    Ongoing Class Action: An active class action is currently underway. You can reach out to lead plaintiffs' counsel to request an identity-shielded conflict check and declare your intent to serve as a Confidential Witness (CW).

Derivative Action (Jenell Case): A new derivative action (Jenell) has been launched, which Nike is seeking to consolidate into the primary class action.

Expanding Case Scope: While the class action currently covers a narrow period prior to JD's termination, providing new factual evidence can give lead plaintiffs' counsel grounds to file a Third Amended Complaint and expand the scope of the lawsuit.

  1. Legal Protections & Financial Incentives
    Zero Out-of-Pocket Cost: Participating in these actions carries no cost to you. Securities class actions are typically handled on a contingency basis or structured through alternative mechanisms guided by counsel.

Common Interest Doctrine: The U.S. Common Interest Doctrine allows plaintiffs' attorneys to share privileged information with one another without waiving legal privilege, provided the parties are pursuing action against the same legal entity on similar claims.

SEC Whistleblower Bounty: If the SEC takes successful enforcement action based on information you provide, you are eligible for a whistleblower bounty that can reach millions of dollars. (This substantial reward mechanism is precisely why corporations offer multi-million-dollar golden parachutes to departing executives—to deter them from taking this path).

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Post ID: @dg+1m4ptnewe

@db, based on the available evidence of potential breaches of fiduciary duty by directors or officers, misappropriation of corporate assets, fraud, or other self-dealing, what would you recommend reporting to the SEC under the Dodd–Frank whistleblower program, and what grounds would support pursuing a shareholder derivative action?

Seems like just a really incompetent Board and named company Executives

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Post ID: @dd+1m4ptnewe

@d5

Nice reminder that you are all shareholders if you participated in ESPP and have the same shareholder rights. If you suffered financial loss in this period you also have the right of taking derivative action after petitioning the BOD.

Furthermore you also have the right to contact SEC under 17 CFR § 240.21F-17 if you have material information. No NDA can bar you from doing this during or after your employment due to dodd frank act's anti-retaliation provisions. You can submit all the incriminating evidence directly to the commision from your corporate machine if asked and Nike cant do any sh-t about it.

Know your rights.

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Post ID: @db+1m4ptnewe

You gotta cash out before the ship sinks. they are making the right call to payoff their 3rd vacation home.

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Post ID: @d9+1m4ptnewe

@d2 Of course. Every employee participating in the ESPP is a shareholder and an owner of this company, just like individual and institutional investors. Everyone has access to Nike’s published financial statements, SEC filings, annual shareholder meetings, and quarterly earnings calls.

And those earnings calls give the CEO and CFO ample opportunity to explain or attempt to soften the blow of disappointing quarterly and annual results with carefully crafted narratives. But rhetoric doesn't change results.

The bottom line is that Nike's Named Executive Officers (NEOs) should be deeply uncomfortable accepting millions in compensation and equity awards while shareholders have endured such disappointing performance and the company's long-term direction remains in question.

Is two years enough to judge the competence and effectiveness of the Board and Senior Leadership Team? Everyone can draw their own conclusions. But accountability shouldn't be optional, particularly at the highest levels of leadership.

In a publicly traded company, the SLT is accountable to the Board, and the Board is ultimately accountable to the shareholders - the owners of the company.

And here's what Nike itself says in its SEC Schedule 14A regarding executive compensation: “We follow a pay for performance philosophy, intended to drive business results and maximize shareholder value. Compensation is therefore highly incentive-based and heavily weighted towards long-term awards to emphasize long-term performance.”
Nike's own words.

If executive compensation is truly tied to performance and maximizing shareholder value, then where is the accountability when performance and shareholder value deteriorate?

At what point does the Board stop rewarding the executives presiding over the results and start holding them accountable for delivering them?

Pay for performance should mean exactly that. Not pay for position, not pay for promises, and certainly not pay for failure.

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Post ID: @d5+1m4ptnewe

@OP , did you vote in the last shareholders meeting? The DEF 14A and DEFA 14A links are attached below. Did you get a chance to read the documents?

NIKE Investor Relations, SEC Form DEF 14A
https://investors.nike.com/sec-filings/all-sec-filings/content/0000320187-26-000089/0000320187-26-000089.pdf#&page=8

NIKE Investor Relations, SEC Form DEFA 14A
https://investors.nike.com/sec-filings/all-sec-filings/content/0000320187-26-000091/attachments/0000320187-26-000091.pdf#&page=2

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Post ID: @d2+1m4ptnewe

@cx Just because your pedo dear leader failed upward his whole life because his parents were rich doesn't mean you are going to get rich. FFS, people like this really exist unironically?

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Post ID: @cy+1m4ptnewe

@a7 "think about how d-mb the average person is these days" I bet you view yourself as extremely smart ... It would be interesting to see where others who know you place you on the intelligence scale. You are clearly very judgmental.

"legislation that punitively taxes excessive executive compensation" why do we need to punish people because they make more money than you? They also have more responsibility. Go look at the existing tax tables. People who do make more already get taxed higher. It could be argued that this is discrimination. Everybody should be paying the same flat tax rate. Simplify the tax code and get rid of all of the write offs and deductions.

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Post ID: @by+1m4ptnewe

The vast majority of executive salaries are in stock compensation. If the stock does poorly so does their income.

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Post ID: @bx+1m4ptnewe

You’re 100% correct. The problem is, nobody really cares enough to do anything except complain about it.

What we really need is legislation that punitively taxes excessive executive compensation. Stuff like, “If senior executive pay exceeds X-X% of average employee pay, everything over that percentage gets taxed at 80%.” You design it so the tax penalty essentially makes it economically impossible to overpay these executives.

People will argue, “What is ‘excessive pay’ and who gets to decide that?”

As a Supreme Court justice once famously said about po-nography, “I can’t describe it but I know it when I see it.” All you have to do is start by looking at historical norms, then arrive at a percentage that still leaves executives very well compensated…but not at a rate MOST reasonable people would consider ridiculous.

Before the 1980’s it would have been downright scandalous and socially unacceptable to pay executives what is considered “completely normal” these days. Once you start paying execs 100X+ what an average employee makes, it starts becoming unjustifiable without engaging in the most silly of mental gymnastics.

But would most people vote for that legislation, knowing they themselves would benefit from it? Probably not. There’s an old quote I forget. Something like, “Poor people see themselves as rich people who simply haven’t hit it big yet.” Certain people would frame it as “socialism” or something else it isn’t, and even though a very logical and rationale argument could be developed to make voting for it a no-brainer…think about how d-mb the average person is these days. Then remind yourself 50% of voters are even d-mber than THAT!

This is why we can’t have nice things.

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Post ID: @a7+1m4ptnewe

The board also gets paid regardless of outcome. Who hires the execs ?

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Post ID: @a6+1m4ptnewe

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