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Nike's Track Record 1988-2000

1988

  • Newspaper of Indonesian trade union publishes investigative report exposing poor working conditions at a South Korea-based shoe company producing for Nike.

1989

  • Articles appear in Indonesian newspapers about wage protests at Nike contractors, Tae Hwa and Pratama Abadi. (Wage at the time, 86 cents a day -- most shoe factories paying illegal "training wage.")

1990

  • Rise of Setia Kawan (Solidarity) independent trade union subsequently crushed by Indonesian authorities after less than a year.

1991

  • Strikes at Hardaya Aneka and Pratama Abadi factories in Indonesia.
  • Indonesian daily Media Indonesia runs three-day report on abuses at shoe factories. Headline second day: "World Shoe Giants Rape Worker Rights."
  • Thames TV (UK),The Economist and Knight Ridder report on poor working conditions at Nike contractors in Indonesia.

1992

  • The Oregonian prints lengthy article on Nike's Indonesia operations -- Phil Knight (Nike CEO) writes angry denunciation.
  • U.S. State Department report to Congress on Human Rights highlights shoe factories' refusal to pay Indonesia's minimum wage.
  • Nike formulates "Code of Conduct and Memorandum of Understanding" for contractors.

1993

  • Sung Hwa protest leaders fired after 10-week investigation by local security forces included intimidation and interrogations.
  • Critical reports in New York Times, The International Herald Tribune, The Economist and Jakarta Post.
  • Sneaker campaigns undertaken in Holland, Italy and Germany
  • Strike at Pou Chen Indonesian factory.
  • CBS-TV (US) broadcasts highly critical report on Nike-contractors' labor practices in Indonesia.

1994

  • Extensive Indonesia sweatshop report in The Rolling Stone.
  • Nike hires accounting firm, Ernst and Young to do "social audits" at Indonesia-based contract factories.
  • Donald Katz' book Just Do It characterizes Indonesian operations as "management by terror and browbeating." CEO Knight appears with Katz for Portland book-signing.
  • Press for Change study in Indonesia documents wage cheating by employers.
  • Strikes at Pou Chen, Pratama Abadi, Nagasakiti Paramshoes and Tae Hwa factories in Indonesia.
  • Major investigative reports in Boston Globe, Los Angeles Times, and Chicago Tribune expose poor working conditions at Nike's Indonesia factories.

1995

  • Manager at Pratama Abadi factory making Nike shoes lines up and slaps 15 women from quality control section.
  • U.S. A.I.D.-sponsored research finds that more than 500 workers at Nike-producing factory in Majalaya, W. Java report problems such as forced overtime and illegal wage deductions.
  • Strike leads to dismissal of 13 activists at Pou Chen.
  • Washington-based Multinational Monitor names Nike to annual "Ten Worst" list.

1996

  • Portland organization, Justice, Do It Nike, begins regular protests at Nike store.
  • New research by Press for Change in Indonesia uncovers widespread violations of Nike's own "Code of Conduct."
  • Fair labor advocates submit "anti-sweat" resolution to Nike shareholders meeting.
  • Kathie Lee Gifford controversy brings unprecedented media attention to sweatshop issue.
  • White House forms "Apparel Industry Partnership" to deal with sweatshop issues. Fired worker from Nike-producing factory in Indonesia is denied chance to speak at AIP's founding conference.
  • The Rev. Jesse Jackson is refused visit to Nike-producing factory while in Indonesia.
  • Canadians and French send hundreds of thousands of protest post cards to Nike.
  • Brutal political and labor union crackdown in Indonesia.
  • Nike sends five-page letter to universities across North America to "explain" child labor controversy.

1997PT. Garuda  worker

  • Phil Knight, Nike CEO becomes sixth richest person in U.S. with $5.3 billion (all from shoes/apparel).
  • Several Nike shoe contractors in Indonesia apply for exemptions from paying new minimum wage in Indonesia. Increase is from $2.25 to $2.46 a day.
  • Strikes by thousands of Nike-producing workers in Vietnam.
  • Portland's Jobs With Justice helps to organize big May Day protest at Nike store.
  • Nike hires former UN Ambassador Andrew Young to tour Asian factories. Young uses Nike translators and his report is viewed by fair labor advocates as shallow and unhelpful.
  • Protests conducted at new Nike store openings in Seattle, San Francisco and Boston.
  • Massive protest and three-day strike at Garuda Indawa factory in Indonesia.
  • Asian economic crisis and crash of Indonesian currency brings Nike contractors' per-day labor cost down from $2.50 a day to $.70 per worker.
  • Campaign for Labor Rights organizes world-wide day of protest concerning Nike's labor practices. Actions in 50 cities.
  • Berkeley-based Transnational Resource Action Center releases report documenting severe health problems at Nike shoe factory in Vietnam.
  • Student protests against Nike links with universities erupt at University of Illinois, Penn State, University of North Carolina, Colorado, Florida State, Michigan and others.

1998

  • Phil Knight vows to eliminate hazardous chemicals from shoe production.
  • Unions leave White House panel on sweatshops due to irreconcilable differences on monitoring and reporting compliance.
  • Filmmaker Michael Moore interviews Phil Knight for movie, "The Big One." - Nike announces pay increase (25 percent) for Indonesian shoe workers, but adjusting for high inflation, worker wages are still 30% behind mid-1997 figure.
  • Michael Jordan, Nike's premier endorser, makes the first of several promises to visit Asian production facilities.
  • Julia, a worker at Nike-producing "Formosa" factory in El Salvador, is beaten and fired for taking a day off to care for her sick child.
  • Hero of E. Timor independence struggle, Jose Ramos Horta, likens Nike contractors' operations in Indonesia to Japanese occupation of the archipelago.

1999

  • Joseph Ha, a top advisor to Phil Knight, sends letter to highest-ranking labor official in Vietnam portraying "anti-sweat" activists as enemies of the state with a "political" agenda.
  • Government survey of 175 businesses in Vietnam shows that shoe factories have largest wage/salary disparities (line workers compared to management).
  • Under pressure from students, Nike agrees to disclose factory locations where university-licensed apparel is being produced. Vietnam survey shows that worst manufacturing pay rates are in footwear sector.
  • Nike increases advertising spending by 53 percent for coming year.
  • Nike factory in Vietnam was scene of country's largest food-poisoning incident of the year.

2000

  • Indonesian official links bribe-taking by police and military to low wages paid to factory workers.
  • University of Oregon joins the Worker Rights Consortium, a sweatshop monitoring group started by labor and student activists.
  • Phil Knight angrily cancels planned $30 million gift to University of Oregon.
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