Universities monitor Nike, labor groups closely
■All eyes are on the race
between the WRC and the
Fair Labor Association
By Ben Romano
Oregon Daily Emerald
In Nike CEO Phil Knight’s an
nouncement that he will no longer
donate money to the University, he
made clear his company’s dislike
of the Worker Rights Consortium.
Officials at University of Michi
gan claim that Nike’s refusal to re
new its contract with that school
was in reaction to the school’s
membership in the WRC.
This news has had varying ef
fects on other campuses across the
country that have similar ties to
both the WRC and Nike.
Nike terminated negotiations
April 27 to renew its six-year, mul
ti-million dollar contract to supply
footwear, apparel and equipment
to Michigan’s 25 varsity athletic
teams and recreational sports pro
grams. The company cited “unac
ceptable material terms” in the
school’s most recent contracts as
the reason for the termination.
In a statement released on the
same day that Nike discontinued
negotiations, the Big-10 school
spoke out against the corporation’s
attempt to “make an example of a
university.
The statement went on to reaf
firm Michigan’s commitment to in
ternational human rights.
“We’re not going to back off as a
result of this,” said Joel Seguine,
spokesman for the University of
Michigan. “Most people are pretty
supportive of standing firm. We’re
standing on principle here. ”
At the University of North Car
olina’s Chapel Hill campus, there
has been discussion of how the
school’s relationship with Nike
could be impacted by its member
ship in the WRC, but the situation
UNC faces is completely different
from circumstances at Michigan
and the University.
“We’re aware of (the Nike/WRC
issue), but it doesn’t impact licens
ing on a day-to-day basis,” said
Steve Brummett, UNC director of
trademark licensing.
UNC does not receive the large
private donations from Knight like
the University and its contract with
Nike is less binding than Michi
gan’s. Michigan’s contract made a
commitment to a non-specific liv
ing wage for overseas workers in
Nike factories that is years down
the road, a stipulation Nike would
n’t agree to, Brummett said.
The Chapel Hill school is a mem
ber ofboth the WRC and the Fair La
bor Association. Both groups have
the goal of monitoring conditions in
factories that produce university
apparel, but the FLA was formed in
partnership with industry, while
the WRC currently allows no indus
try representation on its board.
Right now, all eyes in Chapel
Hill are watching the progress of
both the WRC and the FLA. The
question is which monitoring
group is going to be more effective,
sooner, Brummett said.
“We’re waiting to see what hap- ■
pens,” he said.
The two groups are in what
many involved with the issue have
called a race.
Duncan McDonald, University
vice-president for public affairs
and development, said the race is
between labor-rights groups find
ing a position with the FLA and in
dustry representatives gaining a
seat at the table of the WRC.
Indiana University conditional
ly joined the WRC in February.
“There has been very little reac
tion” to the news that Nike has sev
ered ties to University of Michigan,
said IU’s Dick McKaig, vice chan
cellor for students.
Indiana currently has few ties to
Nike, but there is talk of a contract
between Indiana’s football program
and Nike in the future.
The student-led initiative to join
the WRC was harmonious at the
Bloomington campus. The deci
sion was made through a series of
meetings between students and ad
ministrators over the last year,
McKaig said.
Resignation
continued from page 1
Knight’s pledge to stop all per
sonal donations to the school.
Pape said Kilkenny told him that
the events of the past few weeks
have put Kilkenny, who holds
both University President Dave
Frohnmayer and Knight in high re
gard, into an uncomfortable posi
tion.
Pape said he was surprised
r
when the office of the foundation
contacted him Monday with the
news that a letter of resignation
from Kilkenny might be on its way.
“I picked up the phone and
called Pat and I said ‘Pat, what’s
going on’?” he said.
The University Foundation is a
private, non-profit organization
that has received and adminis
tered private, confidential dona
tions and gifts to the University
since 1957. The Foundation’s 52
member board of trustees is made
up mostly of respected University
alumni. Donations and gifts to the
University, overseen and adminis
tered by the board, are used to help
various departments cover expens
es for buildings, scholarships and
faculty.
Should Kilkenny in fact follow
through on his resignation, Pape
said he will not be replaced. The
number of trustees, who serve five
year-terms, can be anywhere be
tween 45 and 55 members. Cur
rently Kilkenny has one year left
before his term expires.
Tom Hager, the University’s di
rector of communications, said the
University Foundation, although
aligned closely with the University
itself, is a separate entity.
The Register-Guard reported
Tuesday that Kilkenny, who grad
uated from the University in 1974,
was stepping down from the
board, but plans to continue to
support his alma mater as a donor.
“I’m not walking away from
that. It’s a great school with great
people, and I wish them all the
best,” Kilkenny was quoted in The
Register-Guard. “By no means am
I bailing out on my interest in that
marvelous institution up in Eu
gene.”
Kilkenny also told The Register
Guard that while his resignation is
a statement expressing his feelings
on recent events at the University,
he said he holds Frohnmayer in
high regard, and his resignation
does not mean that he questions
the president in any way.
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