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About Oregon daily emerald. (Eugene, Or.) 1920-2012 | View Entire Issue (April 25, 2000)
Nike »HA>>*n0 ■Although both organizations have like goals, Nike argues the Fair Labor Association has more reasonable protocol By Ben Romano Oregon Daily Emerald Nike weighed in on the issue of labor rights monitoring agencies Monday in no uncertain terms. The apparel industry giant clearly endorses the Fair Labor As sociation, an organization with stated goals similar to those of the Worker Rights Consortium, which the University recently joined. A statement released late Mon day announced that Nike CEO Phil Knight will halt all future per sonal donations to the University. Knight said that the WRC “has no protocols, no credibility, no role for the companies whose busi nesses are being monitored and no independence.” Earlier Nike statements have lambasted the WRC calling it “a loosely formed organization whose operating tenets include a ‘gotcha monitoring’ system and an ambigu ous living wage provision.” The company made its position on the WRC clear late in March when it pulled out of a contract with Brown University, one of the founding members of the WRC. After the Rhode Island liberal arts school stipulated that all of its trademark licensees comply with the code of conduct of the WRC, Nike stopped supplying Brown’s hockey teams with equipment. In a letter to the Brown commu nity dated March 28, Nike decried the WRC for excluding some par ties from the negotiating table: “We fundamentally believe that the only effec tive way to make progress in im proving factory conditions around the world is to have all stakeholders at the table. The WRC directly re jects this premise, choosing in stead to exclude industry and oth er key stakeholders. ” Nike is participating in — and loudly endorsing — the FLA, a product of the Apparel Industry Partnership, which is a group of manufacturers, universities and consumer, labor and human rights organizations, started by the White House in 1996. The FLA allows industry repre sentatives on its board of directors. It also allows companies to pick their own monitors, and factory monitoring visits are pre-an nounced. Those who are pulling for the WRC as the factory monitoring or ganization of choice criticize the FLA for letting the garment indus try monitor itself. “I’m sure that there were no Nazis on the Nuremberg war tribu nal,” said Randy Newnham, a spokesman for the Human Rights Alliance campus organization. He said he doesn’t think that clothing manufacturers have a right to be at the table. Because of the FLA’s structure and monitoring, groups like the HRA lend it no credence. “Basically, this is just a PR stunt of the garment industry and the Clinton administration,” Newn ham said. The WRC is not free from criti cism either, however. The New York-based group has been criticized for blocking media from attending its inaugural meet ing April 7. Others have problems with the WRC’s board member selection process and the amount of influ ence that universities will have. Critics have also noted that the WRC, with no business represen tation at all, is imbalanced. Excerpts from Nike CEO Phil Knight’s statement regarding the University In recent days, there have been nu merous media reports and specu lation regarding my personal phi lanthropy and relationship with the University of Oregon. As a lifelong Duck and in fairness to the many alums at Nike and around Oregon, I feel obligated to address this person ally. I was shocked on Friday morning, April 14 at 9 a.m. to find out that the University of Oregon had joined the Worker Rights Consortium (WRC). With this move, the University inserted it self into the new global economy where I make my living—and insert ed itself on the wrong side, fumbling a teachable moment. Nike did not invent the global econ omy but has been determined to be a leader and to show its good citizen ship. We are very, very serious about providing good factory working condi tions and continuously improving the work experience for all 500,000 peo ple who make Nike products. We also have been consistent in cal ling for one strong external code and one monitor ing system for the entire industry that puts us all on a level playing field. We believe the president’s and the De partment of Labor’s Fair Labor Associ ation (FLA), representing a coalition of human, consumer and labor rights groups, industry and universities, is such a system although it is taking too long to get active.... No university, including the Univer sity of Oregon, can meet the WRC liv ing wage and other code standards for food service employees, grounds keepers, clerical personnel or teaching assistants. My history with the University of Oregon goes back a long way.... Nike will honor its contractual commit ment. But for me personally, there will be no further donations of any kind to the University of Oregon. At this time, this is not a situation that can be re solved. The bonds of trust, which al lowed me to give at a high level, have been shredded. _Q—Dthe w e h ^ www.dailyemerald.com Knight continued from page 1 and administrators will meet within the next few days to dis cuss possible changes to the ex pansion project. Knight, a University alumnus who noted in his statement that he has personally donated $50 mil lion to athletic and academic pro grams in the years since his 1959 graduation, said, “Nike has a lot of pride and has been my life. It is the source of any dollars I am able to give. To accept the University of Oregon’s endorsement of the WRC would be to place my company, our employees, our university-re lated manufacturers and their em ployees in unknown hands and under undefined monitoring that has no protocols, no credibility, no role for the companies whose businesses are being monitored and no independence.” Nike and Knight have endorsed the Fair Labor Association, a mon itoring agency similar to the WRC with a mission to improve work ing conditions in its factories. The fundamental difference between the two is that the FLA has six ap parel industry representatives on its 14-member board of directors while tjip WRC pillows np Ji)4ustry Knight's University ties and donations 1959— Knight graduates. 19%—The Oregon Campaign, started in 1992to increase private gift support, nearsthe initial $150 million goal when Kni^Hdonates $25 million. Dec, 31,1998—Hie Oregon ta m paign ends, with $2553 million raised; Knight’s donation is the largest one announced, Nov. 1999—Knight reportedly pledges $30 million to the Universi ty’s $80 million plan to renovate Autzen Stadium. April 12,2000—Rohnmayer signs University on with the Worker RightsConsortium. a labor-moni toring organization. April 19— Rumors begin that Knight has pulled private dona tions to the University, Monday—Knight officially con firms that he is ending all future donations; in a released statement he says that he has given $50 mil lion to the University, SOURCES Campaign Yearbook and Emeratdardmes participation in decision making. The University’s apparel con tract \vjth Nike — the licensing agreement that puts “Swoosh” lo gos on Duck uniforms — will not be affected by Knight’s announce ment. The contract expires in the spring of 2003. "Nike will honor its contractual commitment,” Knight said. University President Dave Frohnmayer released a statement shortly after Knight’s announce ment. “We are very disappointed to hear that he plans to curtail future contributions to the University of Oregon,” Frohnmayer said. Early Monday, the University administration was trying to set up a face-to-face discussion be tween Frohnmayer and Knight to resolve the matter between the two principle players, whose rela tionship has been characterized as a friendship. “I still hope to speak with him in person, and look forward to working with him in the future,” Frohnmayer said. Knight indicated that future re lations with the University may be strained at best. “At this time, this is not a situa tion that can be resolved,” Knight said. “The bonds of trust, which allowed me to give at a high level, have been shredded." Emerald reporter Mirjam Swanson con tributed to this article. All Ways Travel • Spring Sale • Orlando - $198.00* London -$499.00* Paris -$539.00* Kuala Lumpur - $599.00* •tax not included, restrictions may apply. Subject to change without notice. Eurail Pass/IMC card/Hoatel... 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