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U FAIR &UNFAIR LABOUR PRACTICES

NIKE LABOR PRACTICES

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Page 1: NIKE LABOR PRACTICES

U FAIR &UNFAIR LABOUR

PRACTICES

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TOPICS……CHILD LABOURHARRASMENTPRIVACYSWEAT SHOPEMPLOYEE RIGHTS

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CHILD LABOUR

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CHILD LABOURChild labour refers to the employment of at

regular and sustained labour Factory work, mining,prostitution,

quarrying, agriculture, helping in the parents' business, having one's own small business (for example selling food), or doing odd jobs

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Child labour is still widely used today in many countries, including India and Bangladesh. CACL(campaign against child labour) estimated that there are between 70 and 80 million child labourers in India.

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RECENT CHILD LABOUR ISSUESBBC's Panorama (TV series) programme. On November 21, 2005, an Indian NGO

activist Junned Khan, with the help of the Labour Department and NGO Pratham mounted the country's biggest ever raid for child labour rescue in the Eastern part of New Delhi, the capital of India

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In 1997, research indicated that the number of child labourers in the silk-weaving industry in the district of Kanchipuram in India exceeded 40,000. This included children who were bonded labourers to loom owners. Rural Institute for Development Education undertook many activities to improve the situation of child labourers. Working collaboratively, RIDE brought down the number of child labourers to less than 4,000 by 2007

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IPEC – 1992Child labour in IndiaSectors involved in child labourBeedi manufactureFireworks manufactureSilk manufactureDomestic labourConstructionBrick kilns

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SEXUAL HARRASMENT AT WORKPLACE

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SEXUAL HARASSMENTSexual harassment is intimidation, bullyingor coercionof a

sexual nature, or the unwelcome or inappropriate promise of rewards in exchange for sexual favors

Harassment situationsThe harasser can be anyone, such as a client, a co-worker, a

teacher or professor, a student, a friend, or a stranger. The victim does not have to be the person directly harassed

but can be anyone who finds the behavior offensive and is affected by it.

While adverse effects on the victim are common, this does not have to be the case for the behavior to be unlawful.

The victim can be any gender. The harasser can be any gender.

The harasser does not have to be of the opposite sex

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Effects of sexual harassment on organizations

Decreased productivity and increased team conflict Decrease in success at meeting financial goals

(because of team conflict) Decreased job satisfaction Loss of staff and expertise from resignations to avoid

harassment or resignations/firings of alleged harassers; loss of students who leave school to avoid harassment

Decreased productivity and/or increased absenteeism by staff or students experiencing harassment

Increased health care costs and sick pay costs because of the health consequences of harassment

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EMPLOYEE RIGHTS

Employee rights are any rights which refer to the status of being an employee.  These rights may be moral or legal

Employees are entitled to:

* be paid the right wage for the job they do;* protection from unfair dismissal; * sick leave, annual leave, public holidays, family leave and long service leave; * have an unfair contract of employment which is not covered by an industrial award or a contract for services, amended or invalidated; and* freedom to belong to or not belong to a union.

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WORKPLACE PRIVACYThe issue of workplace privacy have been

controversial over the past years with more technologies available to monitor the privacy of the employees such as telephones, voice mails, video cameras and internet.

Information technology Internet

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Why is a good working environment good for business?

Accidents at work and occupational injuries represent a considerable economic burden for individuals, employers and to society as a whole

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What benefits can good working condition bring?Healthy workers are more productive and can

produce at a higher quality; Fewer work-related accidents and diseases lead to

less absence. In turn, this results in lower costs and less disruption of the production processes;

Equipment and a working environment that are optimised to the needs of the working process and that are well-maintained lead to higher productivity, better quality and less health and safety risks;

Reduction of injuries and illnesses means less damages and lower risks for liabilities.

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Definition Wrongful dismissal, also called wrongful

termination or wrongful discharge, is an idiom and legal phrase, describing a situation in which an employee's contract of employment has been terminated by the employer in circumstances where the termination breaches one or more terms of the contract of employment, or a statute provision in employment law

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Being terminated for any of the items listed below may constitute wrongful terminationDiscrimination:. Retaliation:. Employee's Refusal to Commit an Illegal Act:. Employer Not Following Own Termination

Procedures:

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Unjust dismissal A female employee of a McDonald’s

restaurant in the Dutch town of Lemmer was fired with immediate effect in March 2009 because she added a cheese slice to a colleague’s hamburger.

regular price of a hamburger in the Netherlands is 1.75 euro (2.47 USD) while a cheeseburger costs 1.95 euro (2.75 USD).

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did not know if her colleague paid for a hamburger or cheeseburger

“Do not give away products to friends, family and/or colleagues. This also applies to products which will be thrown away,”

McDonald’s did not give the employee a chance to explain her actions.

McDonald’s has been ordered to pay for all the legal costs

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SWEAT SHOP

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SWEAT SHOPSweatshop (also known as "sweat factory") is a working

environment with unhealthy conditions that are considered by many people of industrialized nations to be difficult or dangerous, usually where the workers have few opportunities to address their situation

Which products are made in sweatshops?ShoesClothing Rugs ToysChocolate Coffee

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THE JOURNEY BEGINS HERE

In 1958, Phil Knight a keen athlete and his coach Bill Bowerman realized the need for a good American running shoe.

In 1964, Knight and Bowerman decided to form their own athletic shoe company.

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They called it the Blue Ribbon Sports (BRS) Company.

In 1971, the duo developed a distinctive trademark and a new brand name.

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NIKE – AN OVERVIEW

NIKE, Inc., a consumer products company, engages in the design, development, and marketing of footwear, apparel, equipment, and accessory products worldwide.

The company was founded in 1964 and is headquartered in Beaverton, Oregon

It also sells a line of performance equipment under the NIKE brand name, including bags, socks, sport balls, eyewear, timepieces etc.

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CHILD LABOR IN PAKISTAN

Nike has been accused of using child labor in the production of its soccer balls in Pakistan.

While Pakistan has laws against child labor and slavery.

The government has taken very little action to combat it.

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Child labor is spread all over Pakistan.

The greatest impact in the north-west of Punjab province, that is Sialkot.

Child labor exists in Sialkot both in the export sector and the domestic sector.

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NIKE - A GOOD CHESS PLAYER

Nike's entrance in to the Pakistani markets was the part of its long term strategic planning.

Nike’s does not launch its production directly in to the developing country, but instead it subcontracts it to them by selecting a local firm.

Both Nike and the local production company aims to minimize cost and earn the highest amounts of profit

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HOW IT ALL STARTED - CONSUMER AWARENESS 1996

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VIETNAM CASE - 17 October 1996

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BREACH OF CODE OF CONDUCT

CBS News ran a 48 hour program covering the inhumane treatment of workers by their supervisors.

On March 14, 1997, Reuters reported that 56 women were forced to run around one Nike factory.

As a result of these reports, a group of Vietnamese Americans contacted labor groups and journalists in Vietnam. A group called Vietnam Labor Watch (VLW) was organized.

By late 1997, VLW came out with a report that accused Nike of violating numerous labor laws.

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ACCORDING TO THE VIETNAM LABOR WATCH (VLW)

Nike did not pay the minimum wages

Did not provide proper working conditions

Did not take adequate health and safety measures.

Nike turned a blind eye to child labor and sexual harassment in its factories.

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NIKE'S REACTION

Nike constantly denied that it used unfair labor practices.

The company sent representatives to college campuses in the US.

But this attempt was to convince students that Nike's treatment of foreign labor was fair.

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Consumers -- "Just don't do it."

Maltreatment of employees and sweatshop conditions in Nike's Asian factories.

In many Asian countries, Nike violated local labor laws.

NIKE "NOT JUST DO IT BUT DO IT RIGHT."

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CODE OF CONDUCT

Non discrimination:- will seek Business partners that do not

discriminate in hiring and employment practices.

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FORCED LABOUR

Reebok will not purchase materials that were produced by forced prison or other compulsory labor and will terminate business relationships with any sources found to utilize such labor.

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FAIR WAGES

Reebok will seek business partners who share their commitment to the betterment of wage and benefit levels that address the basic needs of workers and their families so far as possible and appropriate in light of national practices and conditions

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CHILD LABOUR

Reebok will not work with business partners that use child labor.

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FREEDOM OF ASSOCIATION

Reebok will seek business partners that share its commitment to the right of employees to establish and join organization of their own choosing.

Reebok recognizes and respects the right of all employees to organize and

bargain collectively.

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WORK ENVIRONMENT

Reebok will seek business partners that strive to assure employees a safe and healthy workplace and that do not expose workers to hazardous conditions.

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Application of Standards

Reebok will apply the Reebok Human Rights Production Standards in selection of business partners

Reebok will seek compliance with these

standards by their contractors, subcontractors, suppliers and other business partners.

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EMPLOYEE HEALTH & SAFETY

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EMPLOYEE HEALTH AND SAFETY

OSHA passed by congress in 1970-to ensure so far as possible every working man and woman in the nation safe and healthful working conditions and to preserve our human resources.

What causes accidents? Unsafe conditions and unsafe acts

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HOW TO REDUCE…….

UNSAFE CONDITIONS

Emphasise top management commitment Emphasise safety Establish a safety policy UNSAFE ACTS Through selection Provide safety training Use posters and propaganda Use positive reinforcement Conduct safety and health inspections regularly

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Mental Well Being Healthy people Healthy Working Environment HIV/AIDS Initiative Workplace Safety Ergonomics CEO Cancer Gold Standard™

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Employees Create Value and are the Best Asset for an Organization

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Employee centric

A range of initiatives to encourage, motivate and engage its people has made Tata an employer of choice

Strong HR model Team building Reflections-feedback system Performance management Reward Geographic benefits Town halls-MD ONLINE,LUNCH WITH MD

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EMPLOYEE WELFARE

Labor welfare has the following objectives:

To provide better life and health to the workers

To make the workers happy and satisfied

To relieve workers from industrial fatigue and to improve intellectual, cultural and material conditions of living of the workers.

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MAIN PURPOSE…

The purpose of labor welfare is to bring about the development of the whole personality of the workers to make a better workforce.

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Emplyee welfare schemes

statutory non statutory

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STATUTORY WELFARE SCHEMES

Drinking Water Facilities for sitting First aid appliances Lighting Non statutory

Employee Assistance Programs Maternity & Adoption Leave

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HOW TO REGULATE…….

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ACTS…….

FACTORIES ACT 1948 THE WORKMEN’S COMPENSATION

ACT 1923 THE MATERNITY BENEFIT ACT 1961 THE PAYMENT OF WAGES ACT 1936 THE MINIMUM WAGES ACT 1948 THE INDUSTRIAL DISPUTES ACT THE PAYMENT OF BONUS ACT 1966