Nike Case

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NIKE CASE

Issues of Productivity and Public Image with NIKE



Issues of Productivity and Public Image with NIKE

Introduction

If Nike take responsibility for working conditions in foreign factories that it does not own, but where subcontractors make products for Nike? Nike, of course, not only responsibility but also responsibility for the working conditions of foreign factories that it is not the owner of which he subcontracts with. Nike has taken the initiative to be responsible for the contractors / employees working in other countries globally. For example: a while back in time, Pepsi Cola was news to approve the presence of pesticides in its beverages in India. Pepsi assured that it was not just meeting standards in the Indian market, but the same standards of water purification around the world. Pepsi was found in a similar situation, such as Nike, they should have to understand that while they were getting cheap labor in other countries that they should be socially responsible to ensure that workers receive the minimum wage and work in conditions that acceptable on a global scale.

Discussion

What labor standards regarding safety, working conditions, overtime, and how should Nike hold foreign factories: those that prevail in this country, or those that prevail in the United States? Nike should adopt a policy for its overseas operations, which enables them to enjoy cost advantages that they carry with bias shuttering production of shoes, but that will give them the integrity of being human company. For example, if Nike adopts a normal life in the country of production, it will not be able to perform some of the human rights issues associated with global organizations that must comply. Thus, it is very important that Nike is taking a number of standards that ensures that workers receive at least minimum wage in the country, but conditions must be acceptable enough for employees to work and a minimum age of workers should also be strictly enforced (Hill, 2005).

Income of $ 2.28 per day, the base salary Nike factory workers in Indonesia is twice the daily income of about half the working population. Half of all adults in Indonesia are farmers who receive less than $ 1 a day. Given this, it is right to criticize Nike for the low wages of its subcontractors in Indonesia? Each country has its own which is regulated by labor laws in each country. Daily rates vary depending on the qualifications of employees, type of worker lives and works in and the prices of essential commodities in the city and state. For example, a daily wage of workers in factories manufacturing Nike shoes can be higher than farmers in the same city and / or state. If Nike contractors are not following the minimum wage for the type of skills and working conditions in which these workers work, then Nike should be reprimanded and fined on a global scale. Nevertheless, contractors should Nike, subject to the minimum wage set by the government in accordance with job skills and working conditions, Nike cannot ...
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