Pinehurst Manufacturing in Honduras

Publication date: 
Wednesday, May 4, 2011

On May 4, 2011, FLA issued a statement on remediation at Pinehurst Manufacturing in Honduras, the subject of an unannounced audit by FLA-accredited monitor Grupo de Monitoreo Independiente de El Salvador (GMIES). The IEM visit was part of the random selection of audits that FLA conducts annually as part of its due diligence functions to verify compliance with the FLA Workplace Code of Conduct in the supply chain of affiliated companies. The audit found a range of noncompliances regarding Freedom of Association, including alleged management obstruction to the formation of a union. Three FLA Participating Companies – adidas-Group, Nike Inc., and Liz Claiborne Inc. – were sourcing from this factory at the time of the audit. Based on the findings of both reports, FLA Participating Companies sourcing from the factory initiated a series of meetings with Pinehurst management and union representatives to remedy the noncompliances. FLA and affiliates sourcing from Pinehurst will continue to closely monitor the execution and effectiveness of the remediation plan and follow-up activities.