Indonesia is the world’s third-biggest producer of Nike footwear and apparel, after Vietnam and China, with 40 factories in the country employing 171,000 workers producing Nike goods.
How much do Nike workers make in Indonesia?
Much of Adidas’ and Nike’s sportswear is made in Indonesia, where 80 percent of workers in the garment sector are women and some make as little as 86 euros ($102) a month while others do not earn the legal minimum wage, according to the CCC’s report.
How does Nike operate in Indonesia?
Nike â€“ the shoe company that produces those famous athletic shoes â€“ set up factories in Indonesia because of the low wages there. Today, typical workers can earn the equivalent of around $3.50 per day, which for a six day work-week amounts to $21. This is equivalent to P861 per week (at P41 – $1), P3,444 per month.
Does Nike help their Indonesian workers?
Sportswear group Nike has agreed compensation in a dispute with workers in Indonesia over unpaid overtime. Its Indonesian subsidiary will pay $1m (£650,000) to about 4,500 workers at a PT Nikomas plant in Serang, Banten.
Why is Nike unethical?
Nike received Ethical Consumer’s worst rating for its cotton sourcing policy, because it lacks a clear approach to use of pesticides and herbicides. Cotton accounts for 12.34% of all insecticide sales and 3.94% of herbicide sales, even though cotton covers only 2.78% of global arable land.
Who is the boss of Nike?
Does Nike manufacture in Indonesia?
As we understand the situation, Nike is implementing a significant relocation of production – including, though not limited to, university logo product – from Indonesia to other countries from which Nike sources. Several factories will be affected, including multiple factories producing university logo product.
Did Nike use sweatshops?
Nike had been accused of using sweatshops to produce its sneakers and activewear since the 1970s but it was only in 1991, when activist Jeff Ballinger published a report detailing the low wages and poor working conditions in Nike’s Indonesian factories, that the sportswear brand came under fire.
How much do factory workers in Indonesia make per day?
Nike, for example, employs more than 100,000 factory workers in Indonesia, paying them an average of about $3.50 per day. Still, despite the rapidly growing demand for its labor, Indonesia remains one of Asia’s poorest countries, with the average citizen taking home less than $3,500 per year.
What is the cost of living in Indonesia?
The cost of living in Indonesia is quite low, so it’s possible to live comfortably on a surprisingly small amount of cash. A recent survey found that a single person can live comfortably on Rp 13,415,843 (about $900) a month. A family of four would need about Rp 29,846,962 (about $2,000) to live comfortably.
What is the minimum wage in Indonesia?
Minimum Wages in Indonesia is expected to reach 4.42 IDR Million/Month by the end of 2021, according to Trading Economics global macro models and analysts expectations.