Nike a global reality
Nike Pros:

A union represents employees in Mexico. Also, in some countries outside of the
United States, local laws require representation for employees by works councils
(such as in the European Union, in which they are entitled to information and
consultation on certain company decisions) or other representation by a
organizations similar to unions

Nike always thinks ahead of its movement. Nike does not launch its production
directly in to the developing country, such as Pakistan, but instead it subcontracts
it to them by selecting a local firm. When doing this, the local firm, in this case
SAGA sports, has to abide by the Nike's international rules and regulations when
producing its goods. And it is the duty of the international firm (NIKE) to monitor
its subcontracted production units and hold it to tight scrutiny.

When it faced a crisis in the late 1990s, Nike decided to strengthen its
management, overhaul its information systems, and streamline supply chain
management. Nike also became a 100% transparent company having their annual
reports available to the public. They didn’t want to hide anything.

In June 2006: there was a compliance visit focusing on the wage issue. The
reports from the visit came out with the factory having revised systems; all of the
workers provide positive feedback.

From December 2004 – December 2007 reports from another audit. Wages,
working conditions, hours worked, and training wages went from a score of a D to
aC

In April 2008 an audit reveals all critical issues resolved from the year before.
Like human rights, Wages, working conditions, hours worked, and training wages
Factory rated C

NIKE, Inc. has a code of ethics for all employees called Inside the Lines. It
defines the standards of conduct Nike expects employees to follow and includes a
range of topics on employee activity, ethical behaviour, product safety, legal
compliance, competition and use of resources. Each year, all NIKE employees are
required to verify that they have read and understand Inside the Lines. NIKE also
operates a global toll-free line called Alertline for employees to confidentially
report any suspected violations of the law or our code of ethics. Any reported
concerns around accounting, auditing or internal control are communicated to the
Board’s audit committee, which determines appropriate action.

This chart is Nikes North Star, which was developed to help Nike produce shoes
with the minimum impact on the environment. The chart defines what sustainable
products and a sustainable company would look like.

NIKE REUSE A SHOE/ NIKE GRIND - They take different parts from a shoe and
use the different parts to make basketball courts, tennis courts, or a running track.
They have made over 750 courts around the world, mainly in the Canada, USA,
and Europe.
Process of Nike’s reuse a shoe/Nike Grind program
o Nike Grind Rubber, made from the shoe's outsole, is used in track
surfaces, interlocking gym flooring tiles, playground surfacing and even
new Nike products, such as the outsoles of the Nike Pegasus or the Jordan
XX3.
o Nike Grind Foam, made from the shoe's mid-sole, is used as a cushion
for outdoor basketball and tennis courts, as well as futsal fields.
o Nike Grind Fibre, made from the shoe's fabric upper, is used in the
creation of cushioning pads for facilities like indoor synthetic courts and
wood courts.
Cons to Nike:

Most of the factories are located in Asia, including Indonesia, China, Taiwan,
India, Thailand, Vietnam, Pakistan, Philippines, and Malaysia. Places that do
not have laws to stop Nike from using child labour, poor working conditions,
horrible wages, and long hours with unbelievable amounts of overtime, etc.

During the 1990s, Nike faced criticism for use of child labour in Cambodia
and Pakistan in factories it contracted to manufacture soccer balls. They tried
to reduce the child labour but did not stop it. Human rights were also violated
in Vietnam in 1996.

After major criticism Nike would say they would put a stop to the violations
but more and more investigations show Nike continuing to make Human
rights violations.

In 2001 a BBC documentary uncovered occurrences of child labour and poor
working conditions in a Cambodian factory used by Nike. It was discovered
that children would work 7 days a week and often 16 hours a day. The
documentary focused on 6 little girls.

In 2008 Australian Channel 7 news reported Nike violating worker rights at
one of its Malaysian contract factories, including squalid living conditions,
very small wages and withheld passports of foreign workers. They kept there
employee’s in unsanitary living conditions. The employee’s couldn’t leave
because Nike has the passports and on top of all this; Nike took a $375 fee for
bringing the employees from different countries. $375 is 3 months pay, and is
a quarter of their annual salary. Again Nike said they would fix the problem
but they never seem fix it because it keeps happening.
Conclusion:

Nike creates a source of income for the country where the factory is located
and creates a source of income for the workers.

Nike’s sales have tripled from 1996 to 2009 and they seem to continually only
care about the “bottom line.”

Nike has to stop the human rights violations because they continue to contract
companies that violate worker rights and ultimately do not find ethical
procedures important.
Works Cited
"BBC NEWS | Programmes | Panorama | Archive | Gap and Nike: No Sweat? October 15
2000." BBC News - Home. Web. 21 Nov. 2010.
<http://news.bbc.co.uk/2/hi/programmes/panorama/970385.stm>.
Cushman Jr, John H. "CorpWatch : New York Times: Nike Pledges to End Child Labor
And Apply U.S. Rules Abroad." CorpWatch : Index. Web. 21 Nov. 2010.
<http://www.corpwatch.org/article.php?id=12965>.
"Green Textiles and Apparel - Emerging Textiles - Textile Market Information." Global
Fiber, Textile and Apparel Market - Emerging Textiles - Textile Market
Information. Web. 21 Nov. 2010.
<http://www.emergingtextiles.com/?q=stu&s=TI-green-textiles&c=stu080423&peu=eu395&pus=us632>.
"McDonough.com | From Inspiration to Innovation - Nike." William A. McDonough,
FAIA, Int. FRIBA. Web. 21 Nov. 2010.
<http://www.mcdonough.com/writings/inspiration_innovation.htm>.
"NIKE and Child Labor." Page Has Moved. Web. 21 Nov. 2010.
<http://www1.american.edu/ted/nike.htm>.
Nike Shoe Recycling & Sustainability | Reuse-A-Shoe & Nike Grind. Web. 21 Nov. 2010.
<http://www.nikereuseashoe.com/>.
"Nikebiz : Nike Responsibility." Nikebiz : NIKE, Inc. Official Site, the World’s Largest,
Leading Athletic Brand. Web. 21 Nov. 2010.
<http://www.nikebiz.com/responsibility/>.
Press, Associated. "CBC News - World - Worker Rights Violations at Nike Factory in
Malaysia." CBC.ca - Canadian News Sports Entertainment Kids Docs Radio TV.
Web. 21 Nov. 2010. <http://www.cbc.ca/world/story/2008/08/01/nikeviolations.html>.