July 26, 2010

The Central General de Trabajadores de Honduras (CGT) and Nike announced a ground-breaking agreement today that will provide a US$1.5 million fund for workers in Honduras that formerly produced Nike apparel.

According to a press release from Nike and the CGT, workers will also receive a year's access to the health care system, training and priority hiring.

Over 2,000 workers at the Hugger and Vision Tex factories were laid off last year, leaving them unemployed and owed over US$2 million in unpaid wages and severance pay.

The agreement comes after intense pressure was put on Nike by a student-led campaign that had convinced some US universities to end lucrative licensing agreements with Nike.

• Read the CGT/Nike press release
• Read the Worker Rights Consortium memo about the impact of the case
• Read more about the Hugger and Vision Tex closures in the April MSN Update