The Courier 1276

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www.thecourieronline.co.uk Monday 21 October 2013 Issue 1276 Free

SPIDERMAN HITS SINNERS Blind Date: A reinvention

The Independent Voice of Newcastle Students

THE VOICE OF REASON

Pugs displays his pedigree p.11

of romance in the cage p.13

Est 1948

HOME AGAIN p.26

Adidas to pay up after Far East factory dispute By Anna Templeton News Editor Concerns have been raised about Adidas’ suitability as a university partner after it agreed to pay out approximately $1.8 million to factory workers in Indonesia. More than 2,700 workers from the PT Kizone factory failed to receive severance payments from the former owner of the factory, who fled Indonesia in January 2011. PT Kizone was declared bankrupt in April 2011, leaving thousands of employees without jobs. Workers had been stitching sportswear for the likes of Adidas, Nike and the Dallas Cowboys at an average wage of $0.6 per hour.

Indonesian workers were owed $1.8 milion in pay

US. Nine American universities - Cornell University, Oberlin College, University of Washington, Brown University, Rutgers University, Georgetown University, College of William & Mary, Santa Clara University and Pennsylvania State University - terminated or pledged not to renew contracts with Adidas due to their initial refusal to pay workers at PT Kizone. With the two-year-deal between Newcastle University, the Students’ Union and Adidas having been agreed in the last few months, members of the student body have raised concerns about

such factory workers. There have been disputes over unfair pay and poor working conditions in other factories such as PT Panarub Dwikarya in Indonesia and in other countries such as China and Nicaragua. “The increased anger from factory workers at Adidas’s poor treatment has spurred protest across the world. As we speak, a global protest against Adidas is taking place throughout October, with

Nine US universities severed ties with Adidas over refusal to pay full amount demonstrations and direct action taking place at Adidas outlets and offices.” When asked if the partnership would benefit students at the university, Toby responded: “Adidas is not a company specialising in education. Furthermore, there are no sports degrees at Newcastle University, so I believe what they can offer students is very limited. The involvement of multinational corporations in education serves only for the

privatization of education, and to profit from students. One can see clearly only in the first two weeks of this semester that Adidas have had a significant presence on campus, distributing discount cards and setting up info stalls to draw Newcastle students into their client base.” When asked about these ethical concerns, a spokesperson from Adidas said: Continued on page 4

“Adidas’ payout to the PT Kizone workers came substantially later than the payout from other companies also using the factory, only agreeing ... after a two year campaign” When the factory closed down in 2011 a total of $3.4 million was owed to workers in severance pay. Nike and other companies agreed to provide their share of the severance pay at a total of $1.6 million. At the time, Adidas decided not to provide the full severance pay owed to the workers; instead paying a lesser sum of $525,000. Following two years of campaigning by pressure groups and trade unions, both in Indonesia and abroad, Adidas eventually agreed to pay the full amount; a total of $1.8 million. The campaign was led by PT Kizone workers in Indonesia and labour rights activists worldwide, including: War on Want, People and Planet, the Clean Clothes Campaign in Europe and United Students Against Sweatshops in the

the sports company’s suitability. Speaking to The Courier, Toby Munnion from the People and Planet society at the University, said: “Adidas’ payout to PT Kizone this year was a victory for the workers at PT Kizone. However, the payout only certifies Adidas’ concerning lack of regard for the proper treatment of their factory workers. “Adidas’ payout to the PT Kizone workers came substantially later than the payout from other companies also using the factory, only agreeing to pay the workers the money they were owed after a two year campaign led by the workers. This highlights their reluctance and hesitation to do what is morally right. “Furthermore, PT Kizone is only one factory where Adidas has employed

BADIDAS? Students enjoyed a starfilled dodgeball tournament as Adidas’ launched its presence on campus Image: Rachel King


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