VIETNAM: 10,000 strike for salary increase at Nike supplier
Around 10,000 workers at Tae Kwang Vina shoe plant in Vietnam, which makes shoes for Nike, went on strike yesterday (29 November) calling for an increased salary.
The workers protested that their pay was too low to keep pace with rising prices in the country.
Tae Kwang Vina, a Korean company located in the southern Dong Nai province of Vietnam, is one of ten contractors that produce shoes for Nike in the country.
Nike's contractors in Vietnam make about 75m pairs of shoes each year, with the Tae Kwang plant accounting for about 10% of this.
The company also suffered a huge strike in December 2004, when 5,000 people refused to work leading to serious financial damages.
Inflation in Vietnam has been running at 9.5% in the first 11 months of this year.
According to Kieu Minh Sinh, an official with Dong Nai Provincial Trade Union, the average monthly salary at Tae Kwang Vina is VND1m or $62, which is 20% more than Vietnam's minimum wage.
"Given the fact that inflation is so high now, it is hard to say they are being too demanding," said Sinh, whose union was trying to resolve the dispute.
Although the Vietnamese government has promised to increase its minimum wage by roughly 12% starting in January 2008, such an increase would not offset the strong price hikes anticipated over the coming years, said one official at the Vietnam Trade Union.
By Ngo Tuan.
Rock climbing-inspired apparel and footwear brand Patagonia has pioneered the use of organic cotton and recycled polyester in its outdoor clothing and posted sales of US$330m last year. Joe Ayling int...
Despite all the hype about digital printing over the last few years, just 2% of the world's printed fabric is produced using this method. One of the reasons for this slow uptake is that digital printi...
The choice between fight and flight is taking on a new meaning in the sporting goods sector. Brands are soaring by exploiting new opportunities in emerging markets, while a subsequent fight for remain...
Kenya's apparel exports suffered a serious setback at the beginning of this year when ethnic violence erupted across the country. Orders are now returning, and garment makers are pinning their hopes o...
Apparel maker Tefron has swung to a net loss of US$0.7m for the first quarter of 2008, from a profit of $3.8m eriod last year, as margins were struck by the devaluation of the US dollar versus the New...
Footwear specialist Crocs has recruited Adam Baker to fill the newly-created position of vice president, merchandising, at the company....
IT provider Siemens has been awarded a global five-year contract to provide end-user outsourcing services to athletic firm Nike Inc....
Sportswear giant Nike has named Keith Houlemard as the new president of its Jordan brand, replacing previous incumbent Garry Cook....
- Steps to piloting living wage in garment factories
- How to ensure sustainability is more than a slogan
- Trump blows the case for Brexit out of the water
- US apparel retailers' November 2016 sales roundup
- Duty-free trade key to build Africa supply chains
- US Q3 in brief – Destination Maternity, Cherokee
- Esquel efficiency drive continues to boost brands
- Taiwan textile maker investing in first US plant
- Outdoor apparel sector set for double-digit growth
- Myanmar garment industry "lacking labour rights"