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Article

9 Apr 2010

Author:
Ryan J. Foley, Associated Press

U. of Wis. cuts ties with Nike over labor concerns

The University of Wisconsin-Madison canceled its licensing agreement with Nike on Friday, becoming the first university to take that step over concerns about the company's treatment of workers in Honduras. Chancellor Biddy Martin said Nike hasn't done enough to help workers at two factories that abruptly closed last year to collect severance payments they are owed…Nike expressed disappointment with the university's decision...while noting the factories were operated by subcontractors. Under Nike policy, subcontractors are responsible for compensation of their employees…Nike has offered to provide job training and give workers priority for jobs at nearby factories. But the Worker Rights Consortium...told college leaders...the company's response has been insufficient.