Up to 3,000 shoe factory workers could lose their jobs after US footwear giant Nike Inc announced plans to cut back sports shoe production in Indonesia, it was claimed on Monday.
The Jakarta Post quoted worried workers at PT Delton Indonesia as saying they fear up to 50 per cent of the firm’s 6,000-strong workforce will be made redundant after Nike revealed it would stop orders from November.
The employees said they had already held one protest rally against Nike and further and larger demonstrations were planned if the US firm did not honour its pledge to help the affected workers with loans, education and health care.
Nike’s decision last week to slash its shoe production in Indonesia came just 48 hours after rival Reebok announced similar cuts.
Nike later issued a statement saying its orders with 47 Indonesian factories meant 120,000 workers would still be employed at its shoe suppliers.