Nike Inc (NYSE:NKE) announced a series of layoffs that will affect roughly 2% of the company’s total workforce.

The athletics apparel giant has decided to cut ties with these employees as part of a broader restructuring effort at a time when the retail industry has been down in the dumps. Foot traffic has been lower throughout the industry, while e-commerce retailing has been on the rise.

It is unclear the exact reasons why Nike’s layoffs are occurring, but they are designed to cut costs and streamline some of its operations. The 2% reduction tallies up to roughly 1,400 of its 70,000 workers around the globe.

“The future of sport will be decided by the company that obsesses the needs of the evolving consumer,” chief executive Mark Parker said in a written statement. Part of what Parker is referring to is initiatives such as the “Consumer Direct Offensive,” which will narrow Nike’s focus to bringing products to consumers quicker, while reducing the amount of products it sends their way.

Nike will be looking to boost profits in 12 major cities around the world, including New York, London, Shanghai, Beijing, Los Angeles, Tokyo, Paris, Berlin, Mexico City, Barcelona, Seoul, and Milan. In these markets, the company hopes to generate 80% of its growth over the coming years.

NKE stock slipped 3.4% Thursday.