Nike is finally putting its better foot forward.
No, we're not referring to positive news lately on the
company's improving profit picture. We mean Nike's attempts
to clean up its reputation as the poster child for the ugly
American corporation: The $9 billion company's treatment
of its Third World workers has been downright medieval.
Oregon's largest company still pays overseas workers less
money per month than the price of a bottle of Oregon
pinot noir. But according to a recently released report,
Nike is now setting standards that are laudable in the area
of workplace conditions.
Says Medea Benjamin, co-director of Global Exchange and
one of Nike's severest critics, "This is certainly an astounding
transformation for a company."
The transformation came about because of bad publicity.
Late in 1997, an MIT-educated researcher named Dara O'Rourke
got hold of an internal Nike audit of the working conditions
at a Vietnamese factory that produces shoes exclusively
for the Beaverton company. The audit, which was intended
for Nike's eyes only, stated that health and other working
conditions at the Tae Kwang Vina factory outside Ho Chi
Minh City were abhorrent and in some cases even breaking
the laws of Vietnam--hardly a worker's paradise. O'Rourke,
who has worked with the United Nations monitoring overseas
manufacturing and production issues, released the audit,
which resulted in a front-page story in The New York
Times in November 1997.
In December 1998, a little more than a year after the appearance
of the damning story, Nike invited O'Rourke back to the
Tae Kwang Vina factory. Nike gave O'Rourke complete access
to the plant, which has more than 9,000 employees, allowing
him to interview workers and even inspect records. In his
report, and in an interview with WW last week, O'Rourke
said he found "significant improvements."
By switching from petroleum-based solvents to water-based
ones, improving ventilation, replacing some managers, training
key personnel on health and safety issues and installing
screening devices, the Tae Kwang Vina factory, O'Rourke
states, has "significantly reduced worker exposures to toxic
solvents, adhesives and other chemicals." In 1997, O'Rourke
wrote that 86 percent of the factory workers reported nose
and throat illnesses. Last year, that number was down to
18 percent.
O'Rourke is quick to point out that there is more work
to be done at Tae Kwang Vina. There is still far too much
exposure to potentially hazardous chemicals. Noise and temperature
levels continue to exceed reasonable standards. (The temperature
in some areas of the factory is 104 degrees.) Protective
equipment is scarce, and worker-safety training is inadequate.
As O'Rourke points out in his report, "We agree with Nike
that in areas as challenging as workplace health and environmental
concerns, 'There is no finish line.' However, recent cooperation...has
been an important step down the road to improved factory
conditions."
Nike is clearly thrilled by O'Rourke's findings. The company
even concedes that the changes it has made will save money--largely
because of the switch to water-based solvents. It has also
invited O'Rourke to make similar inspections at Nike's 36
other footwear factories, most of which are in Vietnam,
China or Indonesia.
What does all this suggest? The value of unflattering attention
to push a company to improve conditions for its workers.
At one time, Oregonians were proud of the Nike story. We
may have reason to be once again.
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Willamette Week | originally
published March 24,
1999
|
