Ch. 3 - Ethics & Social Responsibility

A Message from Phil

“At NIKE, we are on the offense, always. We play hard, we play to win, and we play by the rules of the game. This Code of Ethics is vitally important. It contains the rules of the game for NIKE, the rules we live by and what we stand for. Please read it. And if you’ve read it before, read it again. Then take some time to think about what it says and make a commitment to play by it. Defining the NIKE playing field ensures no matter how dynamic and challenging NIKE may

Be our actions and decisions fit with our shared values. Thanks for your commitment,”

The Nike Code of Ethics

Defining the Nike Playing Field and the Rules of the Game

Social responsibility

Nike’s social responsibility is based upon the atmosphere, workers and factories in which they have been accused of inappropriate and unacceptable work conditions before. Nike states that the materials used are made of recycled resources as a result Nike is more Eco-friendly. Nike’s Reuse-A-Shoe program is designed to eliminate waste by recycling athletic shoes of any brand. Since 1990, more than 25 million pairs of sneakers have been ground up, separated into materials and reconstituted as Nike Grind and then they are used for playground surfaces, tracks, fields, weight room floors and more. When it comes to social responsibility Nike is on the verge to strive and gain a positive reputation.

 

Nike ethics

  

Nike has faced much criticism over the past years due to their overseas factories, their poor working conditions, and their low wages. Nike's factories over the past have been described as sweatshops due to child labor, forced overtime, exposure to dangerous chemicals and poor air quality, and even physical abuse from factory over seers. Nike gained campaigns against them from human rights groups; Nike even began to see protests from the factory workers themselves. After the pressure kept ensuing on Nike, Nike made efforts to improve working conditions for its contracted workers that included providing safer working conditions and improving wages. Nike issued a company Code of Conduct to all its factories in 2002 and made the address locations of their factories public to all. NIKE has also developed a code of ethics for all employees called Inside the Lines. It is a handbook that defines the standards of conduct that Nike expects employees to follow and includes topics on employee activity, ethical behavior, product safety, legal compliance, competition and use of resources. Below is some of what  

• ·         Requires factories to pay employment eligibility fees for foreign workers
• ·         Harmonizes minimum age standard to 16 for all manufacturing; 18 or over if employed  in hazardous conditions.
• ·         Requires factories to fully fun and pay statutory severance; CLS contains provisions on closure and retrenchment.
• ·         Restricts excessive use temporary workers and short-term contracts.
• ·         Requires that overtime be consensual and paid at a premium rate.
• ·         Increases emphasis on minimizing environmental impact
• ·         Strengthens Code implementation, systems approach and transparency requirements.