Monday, 23 July 2012

Adidas Slated over Factory Pay ‘insult’

Amid continuing allegations over G4S Olympics security, another Games sponsor, Adidas, faced criticism today for offering former workers £35 food vouchers, rather than over £1 million back pay owed.


Amid continuing allegations over G4S Olympics security, another Games sponsor, Adidas, faced criticism today for offering former workers £35 food vouchers, rather than over £1 million back pay owed.

The British campaign groups Labour Behind the Label and War on Want attacked the Olympic sportswear partner for what they branded a derisory insult, as the International Olympic Committee executive board meets in London.

The groups say Adidas owes £1.1 million ($1.8 million) to more than 2,800 ex-workers – paid as little as 45p an hour - from its erstwhile Indonesia supplier PT Kizone, whose owner fled 18 months ago, resulting in the factory’s closure..

But, though other buyers from the factory have contributed £956,000 ($1.5 million) towards the overall settlement, Adidas has offered each worker just a £35 food voucher – worth £98,000 in total – and only for use in one supermarket.

Its cash value is the price of one Adidas Team GB Olympic replica kit men’s T-shirt.

In stark contrast, Adidas paid £100 million to sponsor the Games.

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