The following is an update (from May 17th and May 30th) on the case of KukDong in Mexico provided by the Centro de Apoyo al Trabajador (CAT) in Mexico. CAT is an organization of Mexican workers, students and labor activists established to support Mexican workers trying to assert their right to freedom of association. It has been very active in supporting the Kuk Dong workers. The message was forwarded by United Students Against Sweatshops, the network of student activists who have been working on this case in the U.S. and Mexico.

Please follow up on the action request at the end of this message. Also contact:

Hannah Jones
European Director of Corporate Responsibility
Nike Europe
165, Avenue Louise
Brussels 1050
Belgium
Fax: 322-646-6908

and

Doug Cahn
VP Reebok Human Rights Programs
Reebok International Ltd.
100 Technology Center Drive
Stoughton, MA 02072
United States
Fax: 1-781-401-4806

Friends,

In the past few weeks, the struggle for justice at the Kukdong factory in Atlixco de Puebla, Mexico has moved forward quietly, as workers have officially formed an independent union, SITEKIM, have petitioned the local authorities for legal recognition, and are asking workers who support the effort to affiliate. Seeing this on the horizon, we reported weeks ago of the distinct possibility of a campaign of intimidation and violence being launched against SITEKIM supporters. While it appears that the FROC CROC, the illegitimate union chosen by Kukdong management to represent the workers, is beginning its terror campaign, basic steps to help avert such violence such as dismissing the current security chiefs at the factory have been called for repeatedly in the past few months and ignored. This report on recent developments is forwarded from the Centro de Apoyo al Trabajador in Mexico. Contact information for Nike and Kukdong follows.

United Students Against Sweatshops
1015 18th Street NW, Suite 200
Washington, DC 20036

www.usasnet.org
202 NO SWEAT (202.667.9328)
fax/202 822 1199

May 16th, 2001Kukdong Update

DESPITE HEAVY SCRUTINY AND "GOOD WILL" OF LABELS AND COMPANY, VIOLENCE AND HARASSMENT PREVAIL AT KUKDONG AS CROC BEGINS TERROR CAMPAIGN

1. Independent union leader beaten by CROC supporters and then punished by Kukdong employee
   
   
2. CROC offers money to workers to resign SITEKIM
   
   
3. Security chief and head of human resources heavily involved in continuing violence and harassment against workers at Kukdong.

1. INDEPENDENT UNION LEADER BEATEN BY CROC SUPPORTERS, AND THEN PUNISHED BY KUKDONG EMPLOYEE

On May 15th, SITEKIM leader Ivan Diaz Xolo was assaulted outside the factory's new cafeteria by three CROC supporters. According to Diaz, "Julio [Garcia Gil] walked to me and hit me in the face with a water bottle. I took a step back and I realized that two other individuals, Israel AKA "El Veneno"

[Israel Espinoza Corona] and Adalberto AKA "El Puebla" [Alberto Alarcon Velez] were hitting me on the back, so I ducked and covered my face and chest with my arms and did not answer back because I knew I could be fired for this, so I did not do anything else." Diaz suffered no injuries other than scratches and bruises. Other workers present have corroborated Diaz's version.

According to Kukdong workers, Julio Garcia had previously been fired for misconduct in the factory and was readmitted after the work stoppage. Israel Espinoza is a CROC steward in the cutting department. According to the testimony of several workers, both Israel Espinoza and Alberto Alarcon have received money from CROC representative Jose Luis Ruiz.

The negligence and complicity of company officials in this incident is evident in that security chose not to intervene during the incident (even though Hugo de la Peña, head of human resources, subsequently told Ivan Diaz that one person from security had witnessed the incident). When Diaz and other witnesses attempted to enter the management offices to denounce the attack, they were denied access to the by security personnel. Later on that morning, Diaz was called into the offices and Hugo de la Peña, human resources chief at Kukdong, alleged that Ivan had provoked Israel Espinoza, and that the incident had been a fight between both individuals. According to De la Peña, this version was given to him by two witnesses, whose names he never mentioned. The attack occurred in front of a crowd of workers, yet none of the base workers present during the incident were called to give their versions of the incident. Subsequently, Hugo de la Peña, allegedly acting on orders from above, suspended both Ivan and Israel Espinoza for a week.

The precedent of Kukdong allowing the CROC to beat up workers on premises and then punish the individuals beaten is a threat to the physical integrity of all workers at Kukdong who have opposed the CROC, as well as another attack on the ability of workers to freely choose their union representation. While it is not clear that higher management was involved in handling this situation, it is clear that management must take strong measures to prevent this kind of incident from occurring again. If the incident is left unpunished, it will be an encouragement for the CROC to assault independent union supporters. Already, many workers have expressed fear of being attacked for supporting SITEKIM.

2. CROC OFFERS MONEY TO WORKERS TO RESIGN SITEKIM

According to several workers who have approached Centro de Apoyo al Trabajador, the CROC union representative at Kukdong has been offering money to SITEKIM members and others to oppose the independent union. Martin Perez Casquera, a Kukdong worker affiliated to SITEKIM, denounces that on May 2nd, Jose Luis Ruiz, the CROC representative at Kukdong, offered him 500 pesos (50 US) for every person in SITEKIM that he brought to him who was willing to sign a document disowning SITEKIM. Perez was also offered 100 pesos every week, which he accepted because of need and because he felt that the money were the union dues that he has been paying the CROC against his will.

"I am conscious that by receiving this money he [CROC representative Jose Luis Ruiz] may force me to do something I should not do, like beat up my co- workers or other actions that may occur to him. Through this document I make Jose Luis Ruiz, representative of the CROC at Kukdong responsible for anything that happens to me or my family," Perez wrote. The testimony that Centro de Apoyo al Trabajador obtained from Perez may place him under considerable risk to his personal integrity, especially in light of the beating of Ivan Diaz.

Perez also confirmed the version of workers that others in the factory have been accepting this money, including the assailants of Ivan Diaz.

While Mexican Federal Labor Law does not contemplate sanctions against bribes in a union election, this situation clearly impedes a fair and free election from happening in Kukdong. Kukdong is under no legal or contractual obligation to facilitate office space for the CROC to carry out its operations within the factory, and it is becoming apparent that the presence of CROC representative Jose Luis Ruiz in the facility may seriously jeopardize the safety of workers and their right to freedom of association. This is especially true in light of the preferential treatment granted to the CROC, since it is allowed to have office space within the facility and call meetings with workers.

3. SECURITY CHIEF RESPONSIBLE FOR CONTINUING HARASSEMENT OF WORKERS IN KUKDONG

On Tuesday, May 8, Elytania Baez Gonzalez, a sewing line supervisor at Kukdong lost 400 pesos of her own property. After reporting to company officials that she lost the money, she and others were called into the security booth at the main entrance. There, Alberto Cedano, head of security at Kukdong accused Baez of "self-robbery." Security personnel under orders from Cedano frisked the workers and then had a female security employee to strip search them. While the reason for this attack is not clear, Baez and at least another person involved were actively involved in the work stoppage and have strongly opposed the CROC union.

Alberto Cedano has been previously involved in several other incidents of violence and harassment against workers. Josefina Morastitla, a worker at Kukdong, reported that Cedano roughly grabbed her by the arms and shoved her out of the way the on January 9th, during the work stoppage. State television broadcast footage of her displaying the bruises caused by Cedano later that day.

Workers returning to the factory on the week of January 15th reported Cedano intimidating workers involved in the stoppage by telling them that they better be careful because he was going to be watching them. Workers also reported that Cedano and Jose Luis Ruiz, the CROC union representative would exchange lists and consult with each other to decide which workers could come back to work and which could not.

Dolores Diaz, a former worker at Kukdong, also reports being assaulted by Cedano on Wednesday, January 31st. As Diaz was trying to return to work in the factory, Cedano called Jose Luis Ruiz, the CROC union representative, and they consulted a list in a notebook. They then decided for her that she had "come in to resign", without giving her a chance to speak to management. Cedano then pushed Diaz, grabbed her by the arm, and physically removed her from the factory. Diaz expressed that she will not return to the factory becasue she feels that Cedano is a threat to her physical integrity, especially since Diaz is pregnant.

Cedano and Hugo de la Peña were also involved in fabricating a written warning issued on March 29 against SITEKIM Secretary General Marcela Muñoz for an alleged incident in which she discussed the independent union with other workers during work hours. Cedano, who was not even near the site where the incident allegedly occurred, listed himself as a witness to this incident. On another occasion, Hugo de la Peña threatened Marcela Muñoz with dismissal of her "and the others behind her" if SITEKIM literature continued to be distributed within the factory.

Cedano's and De la Peña's continued presence in the factiry, given his history of violence, harassment and arbitrary treatment, constitutes a threat to the physical and mental integrity of the workers at Kukdong. In addition, his collaboration with the CROC union creates a climate that unfairly favors the CROC union.

The actions that Centro de Apoyo al Trabajador suggests are that people in the US contact Nike, Reebok, and Kukdong and demand the following:

1. That Jose Luis Ruiz be expelled from the factory. Ruiz is not an employee of Kukdong, and has not been designated by Collective Bargaining Contract or the workers as a representative. Furthermore, the company is under no legal or contract obligation to allow Ruiz to have an office at Kukdong or access to the facility. If a fair environment is to be created at Kukdong, and further violence prevented, it is essential that his access to the facility be denied.

2. That CROC supporters involved in the violence against Ivan Diaz be severely and publicly reprimanded by the company in order to prevent further outbursts of violence.

3. That Alberto Cedano and Hugo de la Peña be immediately dismissed for their continuing misconduct and that remedial measures be taken to further prevent this type of conduct by other employees.

Dusty Kidd
Global Director for Labor Practices
Nike Corporation
One Bowerman Drive
Beaverton, OR 97003
Phone: (503) 671-6453
Fax: (503) 532-0440
Email: Dusty.Kidd@nike.com

Amanda Tucker
Senior Labor Practices Manager
Nike, Inc.
One Bowerman Drive
Beaverton, OR 97005
503-532-0311
Email: amanda.tucker@nike.com

Kukdong International Mexico S.A. de C.V.
Retorno de Ave. Continentes Num. 38
Rancho Los Soles
Atlixco de Puebla, Mexico
Tel: 011-52-244-61020~3
Fax: 011-52-244-61024
Email: kukdong.@rpc.com.mx

Kukdong Corporation (Korea)
Kukdong Building 229-3 Young Dap-Dong
Sungdong-Ku, Seoul, Korea
Tel: (02) 3407-7701~7905
Fax: (02) 2249-5915
2243-7776
http://www.kd.co.kr
email: kukdong@kd.co.kr

Kukdong Update May 30th, 2001

1. IMPUNITY CONTINUES AT KUKDONG FOR VIOLENCE AND HARASSEMENT OF UNIONISTS, WITH INVOLVEMENT OF KUKDONG EMPLOYEE, AND WITH SUPPORT FROM NIKE
   
   
2. KUKDONG EMPLOYEES AND THE FROC-CROC PARTNER UP TO DERAIL THE LEGAL RECOGNITION OF SITEKIM
   
   
3. FROC-CROC ATTACKS REEBOK AND URGES VIOLENCE AGAINST SITEKIM AND CAT MEMBERS
   
   
4. WORKERS WIN A VICTORY AS KUKDONG SHARES PROFITS

Now that most workers at Kukdong have been able to return to the factory, they still have to struggle first for the recognition of their independent union by government authorities, and then they must win an election which will give them the bargaining rights over the collective contract currently owned by the FROC-CROC.

Given the lack of response, especially by Nike, after the harassment of Elytania Baez and the beating of Ivan Diaz, it is clear that the CROC and sympathetic Kukdong employees are escalating their campaign against the SITEKIM to halt the government recognition process.

1. IMPUNITY CONTINUES AT KUKDONG FOR VIOLENCE AND HARASSEMENT OF UNIONISTS, WITH INVOLVEMENT OF KOREAN EMPLOYEE, AND WITH SUPPORT FROM NIKE

Despite the violence suffered by Ivan Diaz Xolo and the harassment of Elytania Baez, with the accompanying threats to the rest of the workers, little has been corrected at Kukdong. Kukdong officials, with Nike, continue to present the Ivan Diaz incident as a “fight.” On the other hand, in the case of Elytania Baez, like many cases of harassment, it seems as if nothing had ever happened.

In the case of Ivan Diaz, Nike commented to have spoken to all eyewitnesses to the event. Yet, eight workers who witnessed the event have never been interviewed by the company or Nike auditors. Josefina Hernandez, Edith Vazquez, Tomas Calderon, Bertha Altamirano, Claudia Monroy, Aide Camaño, Fransisca Gonzalez, Ricarda Ramos and Micaela Romero submitted a document that expresses: “We, the workers of Kukdong who sign this document, witnessed how some guys, Israel (El Veneno), Adalberto (El Puebla) hit Ivan Erik Dias [sic], without any cause.”

In contrast to Nike’s misinformed or complicit coverup, workers report that a Reebok representative was present at Kukdong to address the case of Elytania Baez. They do not report to have knowledge of any visit by Nike auditors.

Workers have requested that those they perceive as intellectual authors of these attacks, FROC-CROC representative Jose Luis Ruiz and head of security Alberto Cedano, be held responsible for the violence and harassment against Elytania Baez and Ivan Diaz. They both continue to work at Kukdong with impunity.

2. KUKDONG EMPLOYEES AND THE FROC-CROC PARTNER UP TO DERAIL THE LEGAL RECOGNITION OF SITEKIM

Workers who wish to remain anonymous for safety reasons also reported that 6 workers were paid and pressured into signing a statement of loyalty to the CROC and of rejection of SITEKIM at the local labor board. The 6 workers who were taken to the labor board were offered money and threatened by the CROC and pressured by a Kukdong employee known as Luis Lee. The 6 workers had signed the founding document of SITEKIM, and the move by the CROC is clearly an attempt to stop SITEKIM from obtaining government recognition. Mexican Federal Labor Law states that unions must be created by at least 20 workers. 28 have signed the founding documents of SITEKIM, yet 6 have been pressured into renouncing. If the CROC and Kukdong continue to be allowed to continue these acts against the right to freedom of association, there is nothing to say that more workers will not continue to be forced to renounce SITEKIM. If enough workers are coerced into doing this, the recognition of SITEKIM will be! jeopardized.

3. FROC-CROC ATTACKS REEBOK AND URGES VIOLENCE AGAINST SITEKIM AND CAT MEMBERS

On an undated memo to Kukdong workers on CROC letterhead, the CROC attacks SITEKIM members Marcela Muñoz Tepepa, Josefina Hernandez and Ivan de Erick Diaz, as well as Centro de Apoyo al Trabajador member Blanca Velazquez as “seeking to damage the company and workers… for their own personal gain” and urges workers to “throw boiling water on them if necessary so that they do not disturb the harmony of your home”.

In addition, the document distributed by CROC representatives on Friday, May 25 in the Kukdong cafeteria states that these people “claim the support of US students and Tara Holleman [sic] who regularly visits them in the city of Atlixco, in the Metepec vacation center to be more precise” to stage another wildcat strike. It further condemns that US students and Reebok representative Tara Holeman “meddle in the union and personal lives of workers violating the political constitution of the United States of Mexico”.

4. WORKERS WIN A VICTORY AS KUKDONG SHARES PROFITS

The struggle of workers at Kukdong for justice has accomplished a rare event in maquiladora export factories of Mexico: Kukdong, a factory barely older than a year, has shared profits in accordance to Mexican law. While Mexican Labor law mandates profit sharing, most businesses claim no profits or do not comply with this mandate. In a memo to Kukdong workers, and despite the fact that the CROC, contrary to Federal Labor Law, did not form a committee to review profit sharing, Kukdong General Manager Hoon Park announced that the company was sharing profits. Despite Kukdong’s heavy investment in infrastructure and the work stoppage, workers at Kukdong obtained 100 to 150 pesos as their share in Kukdong profits. This rare event is a testimony to the struggle of Kukdong workers and the efforts of Kukdong upper management.

SUGGESTED ACTIONS

The actions that Centro de Apoyo al Trabajador suggests are the following:

1. Contacting Reebok and Kukdong and recognizing their ongoing efforts, while expressing concern for the permanence within the factory of CROC representative Jose Luis Ruiz, head of security Alberto Cedano, and for the behavior of employee Luis Lee. Also, express concern for the lack of measures to prevent further violence and harassment in light of the Ivan Diaz and Elytania Baez incidents.

2. Contacting Nike and expressing concern for their refusal to address the instances of violence and intimidation, as well as the above mentioned.

3. Contacting the Governor of the State of Puebla and calling for a fair and timely granting of recognition for the Kukdong workers’ independent union.