Nike has announced a ‘remediation plan’ to deal with poor working conditions at its contract factories in Indonesia.
The sports clothing manufacturer will introduce anti-harassment training for managers, implement a grievance system for workers, strengthen policies on overtime levels, sick leave and the reporting of injuries, and improve the quality of canteen food.
The move follows an independent audit of the suppliers that found serious concerns about the way workers were treated at nine factories. Face-to-face interviews and focus groups involving 4450 workers found 30 per cent claimed to have been verbally abused by managers. Eight per cent of workers said they had received unwanted sexual comments.
There were also ‘deeply disturbing’ reports of managers requiring sexual favours in return for jobs, and alleged physical abuse of one in ten workers at some factories.
The study was carried out at the invitation of Nike by the Global Alliance for Workers and Communities, a non-governmental organization that campaigns on workers rights.
Rick Little, chairman of the Global Alliance, said Nike had allowed ‘unprecedented access and transparency’. He described the remediation plan as ‘serious and reasonable’.
Nike will report later this year on its progress in implementing the plan. Global Alliance is to issue a follow-up study in 12 months’ time.
The report was the third carried out in Asia for Nike by the Global Alliance, which has also looked at Thailand and Vietnam.