New Balance had hoped to start the year celebrating the achievement of 100 years in business, but ended the week defending its integrity against charges made by human and labor rights groups. The company that started in 1906 as New Balance Arch is taking very seriously the charges they say are untrue, issuing a press release Friday that counters claims made by the National Labor Committee and China Labor Watch.

The two groups charged last week that New Balance uses a footwear factory in Hongyuan, China that keeps workers in sweatshop conditions, with workers forced to work overtime at 41 cents an hour while living in sub-standard facilities that forces women to shower in front of male workers.

New Balance was quick to counter that they do not contract, nor have ever contracted product at the Hongyuan factory. The factory in question is apparently owned by Likai, a company that owns a number of Chinese factories. They reportedly also own a factory in the Houjie section of Dongguan City that does manufacture some New Balance product. The release issued by New Balance said the factory they contract with is closely monitored by a New Balance Compliance Team including a Compliance Manager for China and a Compliance Specialist. NBAS said the Compliance Specialist is based in the factory and is there every day. The factories in China producing New Balance footwear are reportedly limited to a maximum of 54 hours a week. That includes 40 regular working hours with a maximum of 14 additional overtime hours. All overtime is reportedly voluntary.

Still, the NLC said that workers in the Hongyuan factory reported that New Balance product was made in the facility. The director of the NLC did indicate in one published report that it was possible that New Balance shoes were being made at the factory without the company’s knowledge.

In other New Balance news, the company’s Warrior subsidiary announced last week that New Balance Canada will distribute the brand’s full line of lacrosse and hockey performance products starting immediately. NB Canada’s six independent sales agencies will handle distribution for the Warrior brand and cover all territories in the country.


>>> Hey, we’ve got an idea. How ‘bout talking to New Balance first before issuing the report to enroll them in stopping any potential issues at non-contracted factories…