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ThemultibilliondollarsportswearcompanyNikeadmittedyesterday
thatit"blewit"byemployingchildreninThirdWorldcountriesbutadded
thatendingthepracticemightbedifficult.
Nikeattemptedtopresentitselftoitsshareholdersinitsfirst
"corporateresponsibilityreport"asatouchyfeelyentityestablishedby
"skinnyrunners"andemployingyoungexecutiveswhoworriedaboutthe
environmentandthelevelofwagesitpaid.
ThemerefactthatNikehasproducedsuchareportwaswelcomedin
somequarters,butitsmaindetractors,includinglaborgroupssuchas
Oxfam'sNikeWatchandtheCleanClothesCampaign,saidtheywerenot
convinced.
PhilipKnight,thecompanychairman,clearlystungbyreportsof
childrenasyoungas10makingshoes,clothingandfootballsinPakistanand
Cambodia,attemptedtoconvinceNike'scriticsthatithadonlyever
employedchildrenaccidentally."OfalltheissuesfacingNikeinworkplace
standards,childlaboristhemostvexing,"hesaidinthereport."Ourage
standardsarethehighestintheworld:18forfootwearmanufacturing,16for
apparelandequipment,orlocalstandardswhenevertheyarehigher.Butin
somecountries(BangladeshandPakistan,forexample)thosestandardsare
nexttoimpossibletoverify,whenrecordsofbirthdonotexistorcanbe
easilyforged.
"Evenwhenrecordskeepingismoreadvanced,andhiringiscarefully
done,onemistakecanbrandacompanylikeNikeasapurveyorofchild
labor"
ThereportsaidNikeimposedstrictconditionsontheageof
employeestakenonbycontractfactoriesabroad,butadmittedtherehad
beeninstanceswhenthoseconditionswereignoredorbypassed.
"ByfarourworstexperienceandbiggestmistakewasinPakistan,
whereweblewit,"thereportsaid.In1995Nikesaiditthoughtithadtiedup
withresponsiblefactoriesinSialkot,inPakistan,thatwouldmanufacture
wellmadefootballsandprovidegoodconditionsforworkers.Instead,the
workwassubcontractedroundlocalvillages,andchildrenweredrawninto
theproductionprocess.Now,itinsisted,anyfactoryfoundtobeemploying
achildmusttakethatworkeroutofthefactory,payhimorherawage,
provideeducationandrehirethemonlywhentheywereoldenough.
Mistakes,however,continuetohappen.Inrecentyears,Nikehasbeen
criticizedforitsemploymentofchildlaborinCambodia,butthecompany
defendeditselfbysayingfakeevidenceofagecouldbeboughtinCambodia
foraslittleas$5.
WhenitwasexposedbytheBBCashavingemployedchildrenthere,
thecompanyclaimeditthenreexaminedtherecordsofall3,800employees.
Thecompany'scriticsremainconcernedatthelevelofwagesitpays.Nike
claimsitpaysdecentwages,butitsdetractorsclaimthatonlyatinyfraction
ofthe70costofapairofitsshoesgoestotheworkerswhomakethem.
Theywanttoseewagesincreasedwhichtheysaywouldhaveonlya
negligibleeffectonretailprices.
TimConnorofNikeWatchsaid:"OnfinishingworkinaNike
contractfactory,thegreatmajorityofNikeworkerswillgobacktorural
areasmarkedbyextremepoverty.Theirfutureeconomicsecurityisvery
muchtiedupwithwhattheyearnnow,inthatiftheyareabletosaveenough
theywillbeabletostartsmallinformalbusinessesbackhome.
"Iftheyareunabletosave,theworkintheNikefactorywillmakeno
longtermcontributiontotheireconomicwellbeing,andtheywillsimply
returntoruralpoverty.
"IfNikewantstobetakenseriouslyasacompanyinterestedin
corporateresponsibilitythenitneedstoengagehonestlywithitscriticsin
thehumanrightscommunity.Unfortunatelythecompany'snewcorporate
responsibilityreportfailstodothis."