All Nike footwear, apparel and equipment. Nike, Inc.'s compliance program is accredited by FLA.
From the Nike, Inc. website: Our greatest responsibility as a global company is to play a role in bringing about positive, systemic change for workers within our supply chain and in the industry. We're looking end-to-end, from the first phase of our product creation process to the impacts of our decisions on the lives of workers in the factories that bring our product to life.
The FLA Board of Directors accredited Nike’s labor compliance program in May 2005, at the end of an initial implementation period of three years. This assessment for reaccreditation of Nike’s labor compliance program covers the period 2005-2007.
On May 27, 2008, FLA published a Second Interim Summary Report providing information on all activities related to a Third Party Complaint (3PC) initially filed on December 8, 2005 by Christliche Initiative Romero (CRI) regarding Hermosa Manufacturing in El Salvador. FLA affiliate companies adidas, Nike, Inc. and Russell Athletics sourced from the factory at the time the 3PC was filed. CIR alleged workers were owed wage, overtime and severance payments from the sudden closure of Hermosa Manufacturing in May 2005.
In September 2005, FLA published a report on the Third Party Complaint (3PC) filed by the Garment Industry Labor Union with support from CLIST, a local NGO, alleging the dismissal of workers for organizing at the MSP factory in Thailand. The workers also filed a complaint before the National Commission on Human Rights and Labor Relations in Thailand. The ruling from that complaint favored the reinstatement of workers with back wages. FLA Participating Company Nike, Inc., sourced from the factory at the time.
Nike was a founding company of the Apparel Industry Partnership and has been an active participant in the FLA since its inception. Nike’s code of conduct was established in 1992 and the compliance department was set up in 1996. Nike’s Compliance Program falls under the umbrella of Nike’s Corporate Responsibility Department and is headed by the Vice President of Compliance, who reports to the Vice President of Corporate Responsibility.
In September 2004, FLA published a report on two Third Party Complaints (3PC) filed by the Free Trade Zone Workers Union (FTZWU) and Nike, respectively, regarding the highly-publicized dispute between workers and management about worker affiliation with the union. FLA worked with the Centre for Policy Alternatives (CPA), a local NGO, to convene a roundtable discussion. After two days of negotiation and consultations at the roundtable, a Memorandum of Understanding between the union and management was developed and both parties agreed to implement the MOU in good faith.