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Did Nongovernmental Monitoring improve Working Conditions in the case of Nike and the Footwear Industry?

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  • FERDOUS AHAMED, Ph.D

    () (Faculty of Business, Economics and Law, La Trobe University Australia)

Abstract

This article examines working conditions in the RMG sector of Bangladesh could improve through effective monitoring system. In a significant case Nike suggested that working conditions and labour rights can be improved through a systematic approach and a comprehensive and transparent monitoring system. External pressure from NGOs and other advocacy groups motivated Nike to introduce a Code of Conduct and a monitoring system. The process is discussed in this section. Conclusion: In conclusion, the Nike case suggests that a non-governmental monitoring system could improve labour standards and the working environment. Nike made efforts to improve working conditions for its contracted workers by introducing COC and developed internal standards through specially recruited and trained professional staff. This staffs monitors the working environment and examines the Code of Conducts in order to verify products certification. As a result, working conditions in the Nike and Footwear industry have improved. In the RMG sector, a Social compliance Certification System could be offered through buyers to promote and certify lawful, humane and ethical working conditions in manufacturing processing, and the working environment.

Suggested Citation

  • FERDOUS AHAMED, Ph.D, 2013. "Did Nongovernmental Monitoring improve Working Conditions in the case of Nike and the Footwear Industry?," Journal of Business & Management (COES&RJ-JBM), , vol. 1(1), pages 14-19, January.
  • Handle: RePEc:jso:coejbm:v:1:y:2013:i:1:p:14-19
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    Keywords

    : RMG; Code of Conduct; Monitoring System; Nike; Compliance; FLA; SHAPE and MESH.;

    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • L49 - Industrial Organization - - Antitrust Issues and Policies - - - Other
    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management

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