Nike, the US sports shoe group, has released a detailed "remediation plan" that it hopes will resolve allegations of sexual harassment and physical abuse of workers at Indonesian contract factories used by the company.

The company promised to address worker concerns on verbal and physical abuse; sexual harassment; overtime issues; health and safety and annual and  sick leave.

Nike confirmed it would implement harassment training and introduce a grievance system. It would strengthen existing workplace policies and penalties, including the reporting of serious injuries and deaths.

Nike said many of the issues raised in the report were issues that Nike had been aware of. "Others were serious issues we were not aware of or we were not aware of their scale or scope."

"The remediation plan is an action plan to address specific issues of concern, but it is insufficient if it cannot be verified, if the voice of workers cannot be consistently and safely heard as a standard practice in our factories and if we do not commit to changes across Indonesia and our whole system versus only the factories that were involved in this assessment," the company said.

The report found 2.4 per cent of workers reported "sexual touching" by supervisors or managers. Comments of a sexual nature were reportedly more widespread, with 7.8 per cent saying they had received them in the workplace, while 30 per cent reported verbal abuse.

Nike said it had initiated training with factory management to raise awareness of harassment and would find ways for workers to bring harassment issues to factory management, and/or Nike for action. Nike shares closed up 52 cents, or 2.02 per cent, at $48.05 in trading on Thursday.