Adidas Cuts Half of India Tech Hub Staff

Adidas has confirmed a major restructuring of its technology division in India, with reports indicating that nearly 50% of the workforce at its Gurugram hub is affected. The sportswear company stated it is reducing roles to align its operating model with evolving business requirements, a move that simplifies the organization while concentrating resources on strategic capabilities.

While Adidas did not disclose exact figures, internal estimates suggest approximately 350 employees out of a total workforce of around 700 are being let go. The cuts target software engineers, data scientists, and data engineers, representing a sharp contraction in the local tech team. This decision marks a significant shift for the Gurugram facility, which previously served as a key center for global engineering and local marketing operations.

Immediate Impact On Engineering Roles

Employees were informed of the changes during a town hall meeting on September 15. Some staff members received exit letters immediately, while others were instructed to remain until December to facilitate knowledge transfer and handover activities. Those staying through the transition period are expected to move responsibilities to colleagues at other Adidas technology hubs, with some potentially exploring internal opportunities within the broader organization.

For those unable to secure a new role by the end of the transition window, December 15 has been indicated as the final working day. Details regarding severance packages, notice pay, and redeployment support have not been publicly confirmed. The company emphasized its commitment to providing transition assistance to affected employees as it restructures its global technology footprint.

Strategic Realignment Of Operations

The restructuring reflects a broader effort by Adidas to realign its technology operations. The company aims to strengthen critical capabilities and position the business for long-term growth as technology needs evolve. By reducing the size of the Gurugram hub, Adidas is concentrating its resources on areas deemed strategically important, a trend noted in the tech industry as companies optimize their operating models.

Despite the cuts, India remains a key operational hub for the brand. In 2024, Adidas opened a Global Business Services center in Chennai, signaling continued investment in the region. However, the current layoffs highlight a shift in how global companies manage their technology teams, prioritizing efficiency and strategic focus over maintaining large, dispersed engineering units. The full scale of the reduction remains subject to final confirmation, but the impact on the Gurugram center is substantial.