Nike Reacts to Hytex Factory Scandal

NEW YORK — Nike Inc. released a statement on Friday announcing several steps the athletic giant is taking to ensure that workers at a Malaysian factory are compensated and protected after claims of worker abuse.

Hytex, a Malaysian contract factory that worked with the company, was allegedly forcing employees to work in poor conditions, withholding workers’ passports and garnishing wages, among other violations.

After investigating the claims, Nike is requiring that Hytex comply with specific “non-negotiable” requests including the installment of a 24-hour Nike hotline that workers can call if they are ever denied access to their passports, and the reimbursement of fees associated to employment for all workers, such as worker permit fees.

In the Friday statement, Nike insisted that all Malaysian contract factories that work with it will be required to institute the aforementioned policies within the next 10 days.

“Nike takes these issues very seriously and is taking immediate action to protect the rights of workers in its Malaysian supply chain,” said the company in the statement. “We are committed to comprehensively addressing the issues identified at Hytex and to continued follow-up to help ensure changes are lasting.”

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