After two years of lobbying, Adidas agrees to pay compensation to the formers workers of its Indonesian subcontractor, PT Kizone

According to the Clean Clothes Campaign organization, Indonesian unions have won a “monumental victory” against the second largest sportswear manufacturer in the world – Adidas.  After refusing, for two years, to compensate 2,800 workers laid off by PT Kizone, one of its Indonesian subcontractor, which went bankrupt in April 2011, the German group has changed its mind.  On April 28, it announced payment of additional benefits “to the workers laid off from the Indonesian factory.”  (Ref.  130311)
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Adidas to pay $1.8 million. “We don’t know how much Adidas agreed to pay but Indonesian unions are talking about a monumental victory, so I’m guessing they got a good deal” Axel Schröder, member of the management of INKOTA, one of the key German organizations involved in Clean Clothes Campaign (CCC) told Planet Labor. The CCC organization is committed to improving working conditions in the textile industry at global level.

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