Posts Tagged ‘sweatshop’

Nike Pays Up After Closing Honduran Factories

Wednesday, August 4th, 2010

A big corporation actually responds positively to student pressure.

  • Nike will pay $1.54 million to 1,800 workers in Honduras who lost their jobs after Nike closed two Honduran factories.
  • The workers compensation was a response to pressure from several universities and the nationwide group, United States Against Sweatshops who pegged Nike for failing to pay a $2 million severance package owed under Honduran law.
  • The University of Wisconsin discontinued its licensing agreement with Nike because of the dispute and Cornell threatened to do the same, forcing an image-conscious Nike into action.

Best Quote

“This may be a watershed moment. Up until now, major apparel brands have steadfastly refused to take any direct financial responsibility for the obligations to the workers in their contractors’ factories. Now the most high-profile sports apparel firm has done just that.” – Scott Nova, Executive Director, Worker Rights Consortium.