Credit: Reuters
A pair of shoes seems like a pretty simple thing, but there's really a lot going on behind the production process. Labor inputs are obviously a major component of that process, and for Nike and Adidas things are becoming somewhat complicated as laborers continue to strike.
Yue Yuen, the firm that owns the involved factory, is at odds with factory workers over a few things: 1.) wages – workers make as little as $1.67 an hour and they want a 30% raise. 2.) Social insurance – Yue Yuen has allegedly been skimping on social insurance payments that would benefit workers. A worker making $480 per month was really receiving benefits that were appropriate for a $290 salary.
As far as Nike and Adidas are concerned, they can facilitate production to other factories if necessary, so you can rest assured that your $150 Jordans will be in store without much delay.
Where do you think these protests are heading? Overarching labor reform for factory workers? A simple resolution between Yue Yuen and its workers? Ae these protests/strikes the most effective way to get a point across?
8 comments:
Hopefully, these protests will end with better salaries and social insurance. These people already earn only a fraction of what they could be in another country so I do not see the big difference of a 30% increase of wages for the big company. It might have to pay its workers over $2 per hour, oh no.. In general, I think that there probably should be an overarching labor reform in China, but I'm not sure that would happen. Too many wealthy groups and individuals have a reason to keep these people oppressed.
I think that a strike is an important way to get their message out to the world, especially with the use of social media. Now that more people are hearing about these injustices, they might actually act to stop them. Overall, I believe the labor strike is necessary and I would like to see where it goes from here.
I sure hope these strikes can lead to more comprehensive labor reform, but I highly doubt it. Companies like Nike and Adidas are still going to enjoy growing profits, and consumers aren't going to stop buying these products. I don't think many shoppers are particularly conscientious and so many of what we consume is produced overseas that unfair labor conditions seem to be a mere afterthought because we are so distant from it. Like Connor said, there's a reason things are the way they are. I can imagine this situation playing out with better wages and conditions for the workers, but not by much and only enough to silence the workers for now, but maybe that's just me being cynical. This is just one facet of the serious labor issues in China regarding American companies. It's nothing new and it will take a lot more than a strike for reform. However, I do believe this strike is unprecedented in scale and organization and the fact that officials are responding is important. I hope this strike can continue to build momentum and that the worker needs will be addressed in a direct and helpful way.
In the meantime, millions of consumers will still swarm these stores for the newest merchandise...
I also hope these strikes lead to something better for the workers, such as any improvement in the quality of benefits and the 2% increase in salaries for their hard work. It's a good thought, but the popularity of shoes by brands like Nike and Adidas isn't going to decrease anytime soon, as aren't the two companies' increase in profits. I don't think the strikes will do anything major to make the situation better for the workers as well, but I definitely think it's one of the first steps in accomplishing their goals. It may not lead to anything major right now, but I feel like the protests could eventually lead to something bigger to effect change in favor of the workers with the help of more supporters in order to put attention on the issues they want solved.
Sadly, I don't think these protests will go anywhere. Everything is "Made In China" because, well, it's cheap to have it made in China. I doubt the guys at the top will be willing to compromise profit for improved worker conditions. Just doesn't seem like their style..
Like everyone said, I hope that something good for the workers comes out of these protests. However, I think itll be extremely difficult for the workers to get what they want. While large corporations like Adidas and Nike already make a large profit, I think that they'd still want to spend as little as possible on labor. The reason that they're using facilities in China is because there's a huge labor force at a cheap cost.
I think that these strikes are an effective way to bring public attention and sympathy to a problem(if that makes sense). Hopefully the protests will bring in enough publicity where the companies will have to address it the poor wages. But for now I think that they just need to keep at it and fight for their rights.
Over the past couple days I've been trying to find a pair of shoes that aren't made in China but it's pretty damn hard to find a decent pair that's not over 200 bucks. Like Rachel said it's cheap to manufacture in China, but these companies could doubtlessly manufacture in the US and stay profitable; they're just reluctant to watch their margins get crushed. I like cheap shoes, but I'd be willing to pay a few bucks more to feel assured that whoever is making them has reasonable accommodations and salary.
Oh and please donate to my new shoe fund. I'll need a couple hundred bucks (at least) but it's for a good cause – I swear.
Although I don't like it, I doubt that these strikes are going to have much of an impact. It's like you said, Quinn, Nike and Adidas can always facilitate production to other factories if necessary, so it's not like production is going to be suffering any major hits because of this. Plus, if wages are really that bad, i doubt that the strikers will be able to keep these strikes up for very long without a stable source of income. It's terrible that these workers are subjected to such conditions, but there is not much that they can do about it on their own. I believe that these protests are not the most effective way to get a point across, and that the workers should look for alternatives to protesting to gain better wages and social insurance.
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