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25 Apr 2013

Cornell Daily Sun [USA]

Adidas Agrees to Pay Severance to Workers [Indonesia]

After facing mounting pressure from numerous universities...Adidas has agreed to pay severance to 2,700 Indonesian factory workers, the Cornell Organization for Labor Action announced...This marks a significant policy change for Adidas, which previously had refused to pay $1.8 million in severance allegedly owed to the workers of the PT Kizone supplier factory under Indonesian Labor Laws, according to Karen Li ’15, a member of COLA...Though the specifics of the settlement are still confidential, Li described it as “substantial” and said the union representing the workers “are very satisfied with the settlement.” “This is a monumental victory,” Li said. Workers at the factory, which created collegiate apparel, were laid off two years ago and denied severance, according to Li.

Part of the following timelines

adidas agrees to pay severance to 2,700 Indonesian supplier factory workers following pressure from US universities

Adidas lawsuit (re University of Wisconsin)