Our most recent Update highlights recent comments by Adidas CEO Herbert Hainer which confirm that company's race to the bottom; Adidas is seeking to shift production to lower-wage countries like Laos, Cambodia and Vietnam. The real impacts of this race to the bottom are being felt by the workers around the globe who produce Mr. Hainer's products. Those impacts were best illustrated last May when former Salvadorian factory worker Sonia Lara Campos attacked Adidas' poverty wages in El Salvador at the company's annual general meeting. Sonia asked the board " How long do the workers of Adidas have to wait until they receive a dignified salary?"

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Following the release of MSN’s report, MSN met with ex-Hermosa workers to discuss the findings. While they agreed with most of the study’s recommendations, workers had criticisms.

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Estela Ramirez, ex-Hermosa worker
Credit: Christliche Initiative Romero

A new report prepared by the Maquila Solidarity Network for the Fair Labor Association (FLA) documents the desperate situation of former employees of the Hermosa Manufacturing facility in El Salvador, which closed in May 2005, leaving former Hermosa workers without jobs, back wages, severance pay, health insurance and employee pensions. MSN's report identifies next steps to rectify the injustices suffered by the Hermosa workers, and actions that buyers can take to prevent future "Hermosas".

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The US-Central America Free Trade Agreement (CAFTA) was signed on May 28, 2004 by the U.S., Costa Rica, El Salvador, Guatemala, Honduras and Nicaragua. On August 15, 2004 the Dominican Republic was incorporated into the agreement. Read about its anticipated effects on the Central American garment industry. PDF Format

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Gildan Activewear: T-shirts, Free Trade and Worker Rights

A revealing look at the impacts of free trade on the lives of maquiladora workers who make Gildan T-shirts in Honduras, Mexico and El Salvador. Offers concrete recommendations to the company and stakeholders on ways to improve working conditions and labour practices.

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