Reports from two independent investigations into the labour dispute at
Nike's Kuk Dong contract factory in Atlixco, Puebla, Mexico have confirmed
that independent union supporters who participated in a January 9 work
stoppage are being denied the right to return to their jobs, and that their
right to freedom of association is being violated.

January 26, 2001
Update #2
Independent Reports Confirm: Nike Workers' Rights Violated

On January 25, a six-member investigative team from the Worker
Rights Consortium (WRC), a code of conduct implementation body involving 67
US universities, released a preliminary report confirming that severe
ongoing violations of university codes were taking place, and calling on
its member universities to take immediate steps to seek the reinstatement
of the five fired leaders of the independent union and all other workers
who have not been able to return to work after the work stoppage and are
willing to go back to work.
The WRC report concludes that Kuk Dong violated a legally binding
agreement with worker representatives to rehire, without punitive action,
all workers who participated in the strike, and violated the workers' right
to freedom of association as defined by Mexican labour law, the ILO, and
the Nike Code of Conduct. For a copy of the WRC report see:
www.workersrights.org.
On the same day, the International Labor Rights Fund (ILRF)
released a report to 149 US universities affiliated to the Fair Labor
Association (FLA), confirming that the company had failed to reinstate
striking workers, and that this would have a negative impact on any
subsequent union representation election.
The ILRF report also confirms that workers who attempted to return
to work after the work stoppage were rejected unless they signed statements
in support of the CROC (the "official" union affiliated to Mexico's
historical ruling party the PRI).
The report calls on Nike to send a representative to the factory
with the authority to insist that all workers be reinstated. According to
the ILRF, Nike's Latin America compliance office supervisor, Gabriel
Llaguno, visited the factory today, and confirmed that the CROC
representative was refusing to allow workers who had sought a new union to
regain their jobs.
The fact that the ILRF investigation was carried out at Nike's
request by Arturo Alcalde, a respected Mexican labour lawyer, will make it
difficult for Nike to ignore his recommendations. Both Nike and the ILRF
are members of the Fair Labor Association.
The Kuk Dong factory produces Nike sweatshirts for at least eight
US universities, some of which are members of the WRC and others of the
FLA. The factory also manufactures apparel for Reebok and other major
brands.
The Kuk Dong dispute has been a major blow to Nike, which claims
its code of conduct and external monitoring system ensure respect for
freedom of association and other worker rights.

Thanks to all of you who have responded to our Urgent Action Alerts by
writing letters to Nike and Mexican president Vicente Fox. To date, over 40
Canadian organizations and individuals have sent letters, including the
Canadian Labour Congress, the Canadian Autoworkers, and the National Action
Committee on the Status of Women.

Please be prepared to respond to future Urgent Action Alerts if the
recommendations in these two reports are not promptly carried out.

**************************************************************
Maquila Solidarity Network (MSN) / Ethical Trading Action Group (ETAG), 606
Shaw Street, Toronto Ontario M6G 3L6, CANADA, Tel: 416-532-8584 / Fax:
416-532-7688, Web: www.maquilasolidarity.org