Supply Chain Innovation

Hugger and Vision Tex Factories in Honduras

Publication date: 
Wednesday, July 28, 2010

FLA Statement on Nike - CGT Agreement regarding Hugger and Vision Tex.

The FLA welcomes the July 26 agreement between Nike and the Central General de Trabajadores de Honduras (CGT) regarding assistance to workers affected by the closure of Hugger and Vision Tex, two factories that were Nike subcontractors in that country. Nike, a Participating Company of the FLA, and the CGT union engaged in a productive dialogue that resulted in a package of measures that benefit workers, including a relief fund, vocational training programs, hiring priority, and health coverage. In discussions over the past year the FLA encouraged this kind of dialogue and the kind of outcome that has been achieved.

The FLA commends the many individuals and organizations that were instrumental in reaching this important agreement which goes beyond what Nike was legally or contractually required to provide, but which we believe will significantly improve the lives of Honduran workers. We also commend the expressed commitment of Nike and CGT to work together, in conjunction with other stakeholders in Honduras, to develop long-term, sustainable approaches to providing workers with social protection when facing unemployment. The FLA has been playing a leadership role in trying to address the systemic issue of severance, both globally and specifically in Honduras, and we look forward to working toward practical solutions in Honduras and around the world.

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