Joint Investor Letter to Nike on Outstanding Wage Payments
On September 7, 2023, signatories ABN AMRO and CCLA Investment Management, supported by ICCR and its members, PGGM, and Triodos Investment Management, sent a joint investor letter to Nike to ask the company to pay outstanding wage payments for garment workers in factories in Cambodia and Thailand employed by the Ramatex Group. Workers were dismissed and/or did not receive legally owed partial wages during a factory shutdown.
This joint investor letter describes two cases of labor violations, where garment workers employed by Nike’s largest international supplier, the Ramatex Group and the Hong Seng Knitting Group (that has a joint venture with the Ramatex Group) were not paid legally owed wages and benefits in full in 2020, amounting to a collective $2.2 million owed to more than 4,500 garment workers in Cambodia and Thailand respectively. The joint investor letter has been sent to Nike which has been aware of these two rights issues for the past three years, and Nike will be sent an update of signatories on a regular basis. The investor letter emphasizes the need for remedy in the form of payment of unpaid wages and benefits. It was drafted by a coalition of investors after consultation with NGOs and unions. These investors currently represent over $4 trillion AUM/AUA.
Please find below the joint investor letter with the signatories. The letter will be updated on a regular basis to reflect the number of signatories.
For more information, contact:
Chavi Keeney Nana
Director, Equitable Global Supply Chains