From:?Mike Rhodes
[SMTP:[email protected]]Sent:?Sunday, August 03, 1997 9:22 PM
To:?CLR e-mail alert list
Subject:?Nike workers attacked in Bangladesh
Labor Alerts/Labor News
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[On October 18, there will be an international mobilization in support of the rights of Nike production workers. So far, activists in the following countries have announced plans to participate: Canada, the United States, Australia, Italy, The Netherlands, Belgium, Switzerland and England. To receive a Nike action packet, contact Campaign for Labor Rights at [email protected] or (541) 344-5410. The packet is free via email and $5 in hard copy.]
NIKE WORKERS ARRESTED, INJURED, FIRED IN BANGLADESH:
A Bangladesh newspaper, The Independent of Dhaka, reported on July 14 that 9 workers from the Youngone factory were in jail, 300 injured (50 seriously injured), 97 fired and 800 charged with criminal offenses after they tried to present a statement to their employer, a Nike contractor. Before the workers had chance to make their statement, they were attacked by an overwhelming contingent of police. The attack was in reponse to a demand by the workers for the release of two of their colleagues who had been arrested earlier in the week.
The employer, the Youngone factory, is known for its repressive atmosphere and for suppression of all union activities. Youngone employees, like other workers in the Dhaka export processing zone (EPZ), are deprived of their legal rights-even those supposedly guaranteed by law, such as freedom of association-and are underpaid. Youngone is a Korean company, the largest export manufacturer of sportswear in the world. The company was established in 1974 in Seoul. In addition to their Bangladesh operations, they have factories in Jamaica, Korea and China. They are considering opening factories in Burma, in spite of the international human rights boycott of that country. In Bangladesh, they established their first factory in Chittagong in 1982. They were the first foreign investor in Chittagong and still are the largest one, with 5 factories there so far. They have a total of 7 operational factories in Bangladesh, with 2 more planned to open soon. They have had operations in the Dhaka EPZ since 1993, as the first company in the EPZ and the largest. They are the biggest foreign investor in Bangladesh in terms of direct foreign investment, both within and outside the EPZs.
In the Dhaka EPZ, Youngone now employs a workforce of 2,500, expected to rise to 5,000 when two new factories become operational. The total workforce of the Dhaka EPZ currently stands at 7,000. The EPZs offer investors freedom from taxes and they supply gas, electricity, water, telephone lines and-last but not least-no unions. In return, factories in the EPZ are supposed to comply with International Labor Organization norms concerning working conditions. Youngone has offices in the US (Miami Beach, Seattle), Hong Kong (Kowloon), Switzerland (Bern), Italy (Vicenza) and China. The export market for their garments is: 50% for the US and 50% for Europe. Recently they have started to export to Japan. Within Europe, their main clients are in Germany, Scotland, Italy, France, Sweden, Austria and the Netherlands. Of these, Germany is the biggest.
In the US, their biggest buyer is Nike. They have one unit producing solely for Nike. They also produce for Nike’s European market, via Holland, to a distribution centre in Belgium. Half of their total production in Dhaka is for Nike, about 300,000 pieces per year. Nike pays Youngone extremely low rates per piece. It is only because of their large volume that the contractor can survive. The only place to cut costs is the rate paid to workers. Wages are not expected to increase this year. Another pressure on Youngone is the short delivery time demanded by buyers. Nike gives only 10 days for the factory to make a salesman sample of 1,000 pieces in different sizes and styles. This pressure, too, inevitably is passed on to the workers. Nike buyers visit the factories frequently. CAMPAIGN FOR LABOR RIGHTS newsletter subscriptions: Send $35.00 to 1247 "E" Street SE, Washington, DC 20003. For a sample copy, send your postal address to [email protected].
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