Worsening China Factory Strike Threatens Adidas, Nike Sneakers
BEIJING - A wage dispute at a huge
sneaker factory that supplies brands including Adidas and Nike escalated
Wednesday, highlighting the growing problems faced by China’s
manufacturing powerhouse.
Workers at the plant –
owned by the world's largest maker of sneakers, Yue Yuen – earn as
little as $1.67 an hour making shoes that can sell for up to 100 times
as much in the United States.
Tens of thousands of
employees have been off work for a second week, forcing Adidas to switch
production to some of its other suppliers. At least one organizer was
arrested by police and has not been seen for 24 hours, activists told
NBC News Wednesday after a settlement offer was rejected.
At the core of the
dispute is the issue of historic underpayments for social security and
housing fund contributions, but the issue goes far beyond the shoe
plant.
Workers throughout China are
demanding not just higher wages but better social insurance as they face
the prospect of supporting a rapidly aging population.
“The fact that something
as nuanced as social insurance has led to a strike shows just how much
things are changing,” said Kevin Slaten of U.S.-based non-profit China
Labor Watch. “This generation of workers is a lot more aware of its
rights and this problem is not unique to this factory.”


