Nike, Inc. has been accused of using sweatshops and worker abuse to produce footwear and apparel in East Asia. After rising prices and the increasing cost of labor in Korean and Taiwanese factories, Nike began contracting in countries elsewhere in Asia, which includes parts of India, Pakistan, and Indonesia.[1][2] It sub-contracted factories without reviewing the conditions, based on the lowest bid. Nike's usage of sweatshops originates to the 1970's. However, it wasn't until 1991, when a report by Jeff Ballinger was published detailing their insufficient payment of workers and the poor conditions in their Indonesian factories, that these sweatshops came under the media and human rights scrutiny that continues to today.[3]
In 1996, Life magazine ran a reportage on child labor that included a shocking photo of a 12-year-old Pakistani boy sewing a Nike football[citation needed].[4] Nike has strongly denied the claims in the past, suggesting the company has little control over sub-contracted factories. Beginning in 2002, Nike began auditing its factories for occupational health and safety.
The backlash and its public relations impact forced the company to change methods, improve conditions, and implement social responsibility reports in 2005.[5] Nike has since began initiatives to improve their factory conditions.[6][7]
Since March 2021, a coalition of over 200 unions and labour rights organizations called upon brands to negotiate directly with unions in the sector on an enforceable agreement on wage assurance, severance, and basic labour rights to fill the pandemic-era wage gap, ensure workers who are terminated receive their full severance, support stronger social protections for all workers, and to ensure basic labour rights are respected.
Nike has participated into this right.[citation needed][8]
^Nisen, Max (2013-05-09). "How Nike Solved Its Sweatshop Problem". Business Insider. Retrieved 2021-12-06.
^Fritz, Rachel Grace (October 2018). "From Sweatshops to Sustainability: The Transformation of Nike, Inc". Montclair State University Research.
^Robertson, Lara (2020). "How ethical is Nike?". Good on You.
^Singh, Rambir. "Unleashing the Future: Exploring the Fascinating World of Nike Tech". Healthy Geeks.
^Sankey, Ann (2018). "A History of Nike's Changing Attitude to Sweatshops". Glass Clothing.
^Harrison, Scorse, Anna, Jason (March 2004). "The Nike Effect: Anti-Sweatshop Activists and Labor Market Outcomes in Indonesia" (PDF). Yale Economics.{{cite journal}}: CS1 maint: multiple names: authors list (link)
^Hart, Rosanne (2015). "Nike and the Sweatshop Debate: A Public Relations Crisis Seeking Resolution in the Principles of Images Repair Theory". Kent State University – via Research Gate.
^Singh, Rambir. "Unleashing the Future: Exploring the Fascinating World of Nike Tech". Healthy Geeks.
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