According to the AP, roughly 10,000 workers walked off the job at a plant that manufactures footwear for Nike, demanding higher pay to keep pace with rising prices in the inflationary Vietnam economy. The Tae Kwang Vina plant, in southern Dong Nai province, is one of 10 that contracts with Nike to produce shoes in Vietnam.
The report stated that the average monthly salary at the plant is 1 million Vietnamese dong, or $62, which is about 20% more than the local minimum wage. However, with 9.5% inflation, workers are looking for higher pay, bonuses and cost-of-living allowances.
A Nike spokesman told the AP that Nike was aware of the strike and was encouraging workers and factory management to work out their differences. Nike said that its contractors in Vietnam make about 75 million pairs of shoes each year, and the Tae Kwang plant accounts for about 10%.
