NIKEs svar

Fra: Meyers, Kate
Sendt: 3. juni 2009 01:23
Til: Carsten Terp Beck-Nilsson
Emne: RE: Nike enquiry

Thanks Carsten, I understand you are on deadline, and I apologize for not being able to secure an interview with our VP. With her travel I just couldn’t get on her calendar.

However I have a bit more information to share which may be helpful.

One main issues will be the handling of the strike at Ching Luh – where a number of strike leaders were afterwards fired while others were forced to write self criticism statements in order to keep their jobs.
Based on our dialogue with the factory and other stakeholders, the following information reflects our understanding of the matter.
Ching Luh negotiated with the National and factory Union representatives and reached a mutually agreed upon settlement. The settlement was presented to all workers to raise awareness of the agreement and the associated awarded benefits. The factory then requested all workers sign the agreement prior to returning to work (not write a self criticism). Those that refused to sign the agreement were asked to resign of their own accord. Ching Luh also paid workers for the days on strike which is beyond legal requirements.

Living Wage
There is no commonly accepted, economic definition of a ‘living wage’. We firmly believe that wages should be determined by negotiations with workers and management through public policy and with guidance by relevant governments. Workers in contract factories are not employed or paid by Nike, which is why we have a Code of Conduct that requires factories pay correct wages for the hours worked and we audit factories to verify that they comply with this requirement.

Thanks again for the ongoing dialogue, and good luck with the report.
Regards,
Kate

________________________________________
From: Carsten Terp Beck-Nilsson [mailto:ctn@fbr.dk]
Sent: Tuesday, June 02, 2009 12:37 AM
To: Meyers, Kate
Subject: SV: Nike enquiry

Hi Kate,

Thank you very much for your effort.
However, I’m very close to deadline now. I must finish the article by tomorrow.

I haven’t seen the German article which you refer to, but it sounds very likely that there is a part about Vietnam in it. A wide range of consumer magazines within the organization, ICRT, have been offered stories from Vietnam as a part of a big CSR-project on running shoes. I don’t know how many of them will publish information from Vietnam, but presumably a handful.

In Denmark we’ve decided to run a big article about running shoes in general and the production in Vietnam in particular. And we find it natural to contact Nike with a request for an interview.

Best regards,
Carsten

Carsten Terp Beck-Nilsson
Redaktionschef, Tænk Penge

Fra: Meyers, Kate
Sendt: 2. juni 2009 00:48
Til: Carsten Terp Beck-Nilsson
Emne: RE: Nike enquiry

Hi Carsten, I’m trying to see if I can arrange an interview. Our only spokesperson on this issue is our VP of Corporate Responsibility – I’m checking her availability, but given her current schedule I don’t think it’s likely.
In the meantime can I ask you if your article will appear in the range of consumer publications across Europe or just in Denmark? The reason I ask is that I’ve seen an article which has already come out in the Germany publication which didn’t give Nike an opportunity to address the claims made regarding Vietnam.

Also, I have looked into why Ching Luh is not on the active factory list – it is purely an oversight as the list hasn’t been updated since we released it. We are in the process of putting together our next CR report and an updated active factory list and Ching Luh will be on that.

Thanks, and I will email you tomorrow.
Regards, Kate

________________________________________
From: Carsten Terp Beck-Nilsson
Sent: Friday, May 29, 2009 12:45 AM
To: Meyers, Kate
Subject: SV: Nike enquiry

Hi Kate

Thank you very much for the written statement from Nike.

However, the answers in this statement are very general and do not give sufficient answers to the criticism raised in the article by workers and NGO’s. Therefore I must once again ask you for an interview with a Nike spokesperson.

One main issues will be the handling of the strike at Ching Luh – where a number of strike leaders were afterwards fired while others were forced to write self criticism statements in order to keep their jobs.

Another issue is the question about a living wage where I’d very much like to hear and understand why Nike does not want to commit to paying a living wage.

I hope that you will agree that only during an interview these issues can be properly explored and explained.

I am also wondering why the Ching Luh factory is not on Nike’s list of active factories. I hope that you can clarify this to me.

My final deadline for the article is Wednesday next week. I hope this gives you enough time to set up an interview with a Nike spokesperson.

Best regards,
Carsten Terp Beck-Nilsson
Redaktionschef, Tænk Penge

Til uvedkommende, der læser med: Der er ingen grund til at læse min mail. Jeg har intet at gøre med FARC, al-Jihad, al-Qaeda, Hamas, Hizb al-Mujahidin eller ETA. Jeg har aldrig gjort Zakat, går ikke ind for Istishad, har ikke lavet en bilbombe eller kernevåben og jeg ved dårligt nok, hvad Al Manar og ????? betyder.  Men tak for den udviste interesse.

Fra: Meyers, Kate
Sendt: 27. maj 2009 23:34
Til: Carsten Terp Beck-Nilsson
Emne: RE: Nike enquiry

Hi Carsten, good to talk last week. At the moment we aren’t in a position to be able to grant an interview, but I hope I have addressed below most of your questions / concerns regarding contract factories in Vietnam.
Please let me know if you have further questions.
Regards,
Kate

Wages - you expressed concern that wages in contract factories were not keeping up with inflation and also wanted Nike’s position on a “living wage”.
Nike understands that 2008 was a difficult year in Vietnam regarding rates of inflation. Last year the CPI for first four months of 2008 was 11.60% (understanding it was significantly higher by the end of the year), compared to 1.68% for the first four months of 2009. At the Ching Luh contract factory the current average wage is currently VND1,700,000 while legal minimum wage for the area is 900,000 VND/month.

Nike follows guidelines that are set by law and we require factories to pay legal minimum wages. Nike audits factories to verify that they comply with this requirement.  We believe that local governments have the primary responsibility for ensuring that minimum wages are fairly set.  In addition, Nike has developed programs aimed at improving factory human resource management systems.  Based on our experience, we see that these investments strengthen the competitiveness of factories and workers within the marketplace. 

Beyond this, we are exploring ways to partner with local non-governmental organizations in order to assess the community development needs in targeted factory communities.  We aim to determine whether Nike, in collaboration with others, might play a role in helping to tackle challenges that will further assist factory communities to thrive.  Our belief is that wages can go even farther if significant obstacles, such as access to health care and clean water, are removed for contract factory workers and their communities.  We strongly believe that we cannot solve these challenges alone, which is why partnerships and collaboration with stakeholders will be necessary in order to generate solutions that will achieve systemic change.

Health and Safety – you stated that workers you spoke to complained of back / neck / leg pain due to standing at production lines for long hours. You also said workers that worked in the ‘gluing’ area fell unwell due to the fumes.
Contract factories have been paying increased attention to workplace ergonomics by providing standing workers with soft cushion boards to stand on as well as providing chairs next to their station so they can sit down while waiting for batches of product.  Workers are also provided with regular breaks.  
 
Nike has also reduced the use of petroleum based solvents and glues in the manufacture of its footwear by 95 percent since 1995. In the cases where our footwear still requires a minimal use of solvents we direct factories to provide workers with Personal Protective Equipment (PPE) and workshops to install ventilations systems which meet local laws and Nike’s health and safety requirements.
 
Ching Luh strike in 2008 – you wanted to know what Nike’s role was as workers told you Nike was in daily conversations with the factory. You also wanted to know Nike’s position of FOA in Vietnam given the unions are essentially government run.
Last year Vietnam was facing macroeconomic challenges new to that society. While the economy had grown significantly, so did the inflation rate. In this environment, Nike observed an unprecedented number of “wildcat strikes” (those not organized through the Trade Union) throughout Vietnam and across all industries.

Nike followed the Ching Luh strike and the settlement proceedings very closely. Our personnel in Vietnam were in daily communication with both Ching Luh management and the Long An Provincial Government bodies, including the VGCL, to promote direct lines of communication between the factory management and the union representatives. We were encouraged by the open dialogue that occurred between those parties responsible for finding a resolution to the issue of wages and that almost 100 percent of workers returned to work once a settlement was reached.
Since the strike increased work on grievance systems and worker / management dialogue has occurred. Examples include:
- Weekly ‘free talk’ discussions between workers and management
- Increased communication channels such as posters, face-to-face, in writing, anonymous suggestion boxes, and independent, external worker representative hotlines.
- To support workers Ching Luh has build a mini-supermarket where workers can buy daily food and personal items at a 15 percent discount to the local market (this is in addition to the meals already provided by the factory)
- Ching Luh is carrying out worker surveys to better understand worker concerns and questions
 
Freedom of Association continues to be a challenge for the entire footwear, apparel and equipment industry – and many other industries. We have undertaken a range of activities to support our monitoring, including a focus on education programs for contract factory workers and managers to further strengthen industrial relations – both in countries where freedom of association is prohibited by law and where structural issues exist that prevent workers’ ability to associate freely. We are committed to the premise that workers should be free to form and join trade unions if they choose to do so, and we require that factories producing Nike products respect that right.

________________________________________
From: Carsten Terp Beck-Nilsson
Sent: Saturday, May 23, 2009 2:07 AM
To: Meyers, Kate
Subject: SV: Nike enquiry

Hi Kate,
 
Thank you very much.
I hope you're still working on a formal interview which I would very much like to have in addition to the written information you're sending me.
 
Best regards,
Carsten
 
 
Fra: Meyers, Kate
Sendt: 22. maj 2009 19:57
Til: Carsten Terp Beck-Nilsson
Emne: RE: Nike enquiry
Hi Carsten, I will have some information to send back to you early next week (it’s a long weekend here in the US). Apologies again for the delay – we’ve been undergoing some changes this week which has meant a lot of my colleagues haven’t been available.
Have a nice weekend,
Regards, Kate
 
________________________________________
From: Carsten Terp Beck-Nilsson [mailto:ctn@fbr.dk]
Sent: Tuesday, May 19, 2009 12:45 AM
To: Meyers, Kate
Subject: SV: Nike enquiry
 
Hi Kate
 
Thanks a lot.
I look forward to hear from you.
 
Best regards,
Carsten
 
Carsten Terp Beck-Nilsson
Redaktionschef, Tænk Penge

Fra: Meyers, Kate
Sendt: 18. maj 2009 23:03
Til: Carsten Terp Beck-Nilsson
Emne: RE: Nike enquiry
 
Hi Carsten, I am following up on this and collating some information. I’m just waiting to hear back from the team in Vietnam. I will come back as soon as I have the update.
Many thanks,
Kate
 
________________________________________
From: Carsten Terp Beck-Nilsson [mailto:ctn@fbr.dk]
Sent: Thursday, May 14, 2009 2:03 AM
To: Meyers, Kate
Subject: SV: Nike enquiry
 
Hi Kate
 
Thanks a lot for your email.
I’d be pleased to give you some more details about the issues I’d like to talk to your CSR people about.
Feel free to call me on my cell phone today, Thursday, at 9.30 your time: +45 4194 7910
 
Best regards,
Carsten
 
 
Carsten Terp Beck-Nilsson
Redaktionschef, Tænk Penge

Fra: Meyers, Kate
Sendt: 14. maj 2009 00:56
Til: Carsten Terp Beck-Nilsson
Emne: RE: Nike enquiry
 
Hi Carsten,
Thanks for the email, I’ve been out of the office for the last couple of days.
In the first instance it would probably be good for you and I to chat about the issues and the specific worker concerns. I could probably call you on Thursday at 9.30 my time which I believe is 5.30pm in Denmark?
Let me know if that suits otherwise we could aim for Friday.

Many thanks,
Kate
 
________________________________________
From: Carsten Terp Beck-Nilsson [mailto:ctn@fbr.dk]
Sent: Tuesday, May 12, 2009 1:50 AM
To: Meyers, Kate
Subject: SV: Nike enquiry
 
Hi Kate,
 
Thanks a lot for your email. I appreciate your fast reply.
 
As I mentioned on the phone I’ve been in Vietnam to interview workers from three different factories producing shoes for Nike.
This is a journalistic part of a CSR-investigation, conducted by the European test organization, ICRT – International Research and Testing.
The articles will be published in consumer magazines in several European countries.
 
The workers have expressed concerns which I would like to address to the relevant CSR-person at Nike.
My main questions are about wages, about health and safety issues and about trade unions and workers rights in Vietnam.
 
Regarding the issue about trade unions and workers rights I am particularly interested in the situation at the Ching Luh factory during the strike in April last year. 
 
I look forward to your reply.
 
Best regards,
Carsten Terp
Journalist, Tænk Magazine
The Danish Consumer Council
Fiolstræde 17
1017 Copenhagen K
Denmark’
 
Fra: Meyers, Kate
Sendt: 11. maj 2009 23:44
Til: Carsten Terp Beck-Nilsson
Emne: Nike enquiry
 
Hi Carsten,
Thank you for your voicemail. I’m currently out of the office on a film shoot for a few days but perhaps you might be able to email me a few details regarding the nature of your enquiry and the line of question you would like to pursue and I can at least follow up by email in the first instance.

Many thanks,
Kate Meyers I CR Communications
Nike, One Bowerman Dve JR1, Portland, OR 97005