Survey says Reebok producers improve conditions

Survey says Reebok producers improve conditions

STOUGHTON, Mass. (Reuters): Athletic shoemaker Reebok International Ltd., said Monday two factories in Indonesia had improved conditions for their workers after a company-sponsored probe revealed labor shortcomings.

"The knowledge we have gained from Peduli Hak (Indonesian for 'Caring for Rights') will improve conditions for all the footwear factories we use," said Doug Cahn, Vice President for Reebok's Human Rights Programs.

"By sharing the report broadly, we hope it can have a positive impact for the entire athletic footwear manufacturing industry."

His comments came as Reebok made public the report by a prominent Indonesian research firm examining conditions for workers in two Indonesian factories producing Reebok footwear.

The report detailed workplace problems and the steps the two factories have taken to correct them.

The study was conducted by Insan Hitawasana Sejahtera (IHS), a research and consulting firm based in Jakarta. The report, Peduli Hak, profiled the conditions at PT Dong Joe Indonesia (DJI) and PT Tong Yang Indonesia (TYI).

The factories employ approximately 10,000 workers together and account for more than 75 percent of Reebok's footwear production in Indonesia.

"To raise the bar on conditions for workers, we first had to identify remaining problems. IHS did this, then allowed the two factories to correct the problems before returning for a final assessment," said Reebok's Jakarta-based Manager of Human Rights Programs, Jill Tucker. "The result is that the factories have created safer, more informed workplaces that better protect the human rights of workers."

Among other things, the IHS report was critical of management communication with factory workers, sexual equality and health and safety procedures in the factories. It also addressed wages, overtime and freedom of association.

In an interview with Reuters from Jakarta, Cahn said he had visited one of the factories Monday for the first time in a year and the differences were obvious.

He said the factory had introduced specially-designed chairs for pregnant women and installed a ventilation system to rid the building of chemical fumes.

In addition to physical improvements, there were less visible changes such as rotating work schedules to reduce fatigue among workers involved in repetitive tasks.

And all workers in factories making Reebok products had received three wage increases since the start of the Peduli Hak project and were now paid, "substantially more than the Indonesian minimum wage."

The companies "were willing partners in raising the bar" on factory conditions, he said.

Cahn said the company had isolated 19 key points from the study and were using them as a basis for similar changes to be applied at other factories in Asia that make Reebok shoes.

The IHS team, which included principals of the firms, had full access to factory records and workers, and spent over 1,460 hours inspecting the factories and interviewing workers.

Reebok and some other U.S. clothing and footwear companies have taken steps to address complaints by labor unions and human rights groups about low pay and dangerous conditions at overseas factories that produce their products. In 1992, Reebok adopted and began implementing the first code of workplace standards in the athletic footwear industry.

The Reebok Human Rights Production Standards are now incorporated into all contracts the company has with factories that produce its footwear. Compliance with the Reebok Standards is monitored by the Reebok Human Rights Program staff and by outside professionals.