Nike
Partly verifiedNike raises serious concerns: there are reports of forced or child labour in its supply chain, and workers in Vietnam, Indonesia and China are very unlikely to earn a living wage. Nike's major shoe supplier Qingdao Taekwang employed Uyghur workers transferred from Xinjiang under a government labour programme, as reported by the Australian Strategic Policy Institute and the Washington Post in 2020; Nike confirmed the factory stopped recruiting from Xinjiang in 2019 and that the remaining Xinjiang workers had gone home (Radio Free Asia, 2020).
Last researched 7 October 2026
Not doing enough. Workers in the supply chain are likely underpaid, unprotected or in danger, and in the worst cases face forced or child labour. Look for a better-graded alternative. What this grade means
Good: 2 of 5
- Pays a living wage
- Respects worker rights
- Full supply chain audit, or made only in countries with rigorous labour standards
- No child or forced labour findings
- Publishes where its products are made (supplier list, named farms or its own factories)
Great: 0 of 3
- Pays beyond a living wage
- Finds and fixes problems, or invests directly in workers' communities
- Actively empowers workers
Needs all Good requirements plus two of these.
Red flags: 3
- Does not pay a living wage
- Instances of forced, slave or child labour
- Failing or very low scores on independent ratings
Where it's made
| Country | Worker rights | Legal wages | Forced labour risk |
|---|---|---|---|
| Vietnam 52% | Systematic violations | Well below a living wage | Moderate |
| Indonesia 23% | Systematic violations | Well below a living wage | Moderate |
| China 19% | Systematic violations | Below a living wage | Moderate |
| Cambodia 6% | Systematic violations | Far below a living wage | Moderate |
Country conditions from the ITUC Global Rights Index, Global Slavery Index and living wage benchmarks. Certifications and audits can raise a company above its countries' baseline.
Why this grade
- Cotton is linked to forced labour (Xinjiang, Turkmenistan) and child labour in several growing regions.
- Fair Labor Association: Brand-level accreditation with unannounced factory assessments.
- Publishes supplier list
- Modern slavery statement
- Uses high-risk raw materials (e.g. leather tanning, mica, artisanal gold)
- Low or failing score on an independent rating
- Uses higher-risk raw materials such as leather that aren't traced to the farm. This is noted as a risk but doesn't decide the grade.
Nike publishes a map of its finished goods and materials suppliers and the share of footwear and apparel made in its main countries; the shares shown combine those figures and leave out smaller countries it does not name. It is accredited by the Fair Labor Association and says 71% of its strategic suppliers pay at or above living wage benchmarks on average, but it has no time-bound plan for a living wage for all workers and has not signed the International Accord on factory safety. Its 2023 Corporate Human Rights Benchmark score was very low, and labour groups criticise its handling of pandemic-era wage and severance claims.
What independent sources say
| Source | Result | Details |
|---|---|---|
| Baptist World Aid Ethical Fashion Report | Found | Scored 51 out of 100 in the 2024 Ethical Fashion Report. View ↗ |
| Fashion Transparency Index (Fashion Revolution) | Found | Scored 50% in the 2023 Fashion Transparency Index. View ↗ |
| KnowTheChain | Found | Scored 48 out of 100 in the 2023 KnowTheChain apparel and footwear benchmark, against an average of 21. View ↗ |
| Corporate Human Rights Benchmark (World Benchmarking Alliance) | Found | Scored 14.5 out of 100 in the 2023 Corporate Human Rights Benchmark. View ↗ |
| Australian Modern Slavery Register | Found | Nike lodges Australian modern slavery statements, most recently covering the year to May 2024 on the register. View ↗ |
| UK Modern Slavery Statement Registry | Found | Nike's group statement is made under the UK Modern Slavery Act for its UK entity. View ↗ |
| Fair Wear | Not listed | Not a Fair Wear member. View ↗ |
| Open Supply Hub | Found | 868 apparel facilities linked to Nike are listed on Open Supply Hub. View ↗ |
| Business & Human Rights Resource Centre | Found | Tracks 21 response requests to Nike, which has responded to 86%, mainly over factory closures, layoffs and unpaid wages in Asia. View ↗ |
Confirmed issues
Problems confirmed by a court, regulator, completed investigation or the company itself. Issues more than 15 years old, or 10–15 years old where the company made amends, are removed. Problems a company finds and publishes itself, and is fixing, are shown but don't count against it.
| When | What happened | Made amends? |
|---|---|---|
| 2020 | Nike's major shoe supplier Qingdao Taekwang employed Uyghur workers transferred from Xinjiang under a government labour programme, as reported by the Australian Strategic Policy Institute and the Washington Post in 2020; Nike confirmed the factory stopped recruiting from Xinjiang in 2019 and that the remaining Xinjiang workers had gone home (Radio Free Asia, 2020). | Partly Factory stopped recruiting from Xinjiang in 2019; no remedy for workers reported. |
| 2020 | A Fair Labor Association investigation completed in December 2024 found that workers at Hong Seng Knitting in Thailand, a Nike supplier, were put on unpaid leave during a 2020 shutdown, and Nike's remediation plan paid them full compensation by the end of 2025 (Fair Labor Association, 2025). | Yes Workers fully compensated by the end of 2025. |
| 2020 | The same Fair Labor Association investigation found that two Hong Seng Knitting workers were unfairly dismissed after refusing unpaid leave or speaking out about it, and they received back pay with interest (Fair Labor Association, 2025). | Yes Workers received back pay with interest. |
Unconfirmed reports
Credible reports that haven't been confirmed by a regulator, completed investigation or the company. They're shown for your information and don't affect the grade.
- The Worker Rights Consortium reported that Violet Apparel in Cambodia made Nike products as a subcontractor until it closed in 2020 owing 1,284 workers about US$1.4 million in severance; Nike says it has not sourced from the factory since 2006 and has not paid (Clean Clothes Campaign, 2025). Source ↗
- A coalition of 28 organisations alleged that Nike Canada has supply links to six Chinese firms tied to Uyghur forced labour, and Canada's corporate ethics ombudsperson opened an investigation in 2023 after finding Nike's response unsatisfactory; Nike says it does not source from Xinjiang (Just Style, 2023). Source ↗
- Nike is accused of shifting production to countries with lower minimum wages, and of links to sudden factory closures and mass layoffs in Cambodia, Indonesia and the Philippines (Business & Human Rights Resource Centre, 2025). Source ↗
Sources (12)
- NIKE, Inc. Form 10-K FY2025 – SEC · archived copy · Footwear: Vietnam 51%, Indonesia 28%, China 17% (97 factories, 11 countries); apparel: Vietnam 31%, China 15%, Cambodia 15% (303 factories, 34 countries); about 77,800 employees; footwear materials in
- Strategic compensation in the supply chain – Nike · archived copy · As of FY25, 71% of strategic suppliers pay at or above the applicable living wage benchmark on average; no time-bound living wage target.
- Nike FY25 Statement on Forced Labor, Child Labor, Human Trafficking and Modern Slavery · archived copy · Statement covers Nike Australia Pty Ltd, Nike's UK entity and Nike Canada; announced and unannounced assessments with the FLA and Better Work; Manufacturing Map discloses suppliers.
- Nike modern slavery statement FY2024 – Australian Modern Slavery Register · archived copy · Nike, Inc. statement covering June 2023 to May 2024 lodged on the Australian register.
- Nike earns third Fair Labor Association reaccreditation – FLA · archived copy · Nike reaccredited by the FLA in March 2019; accredited continuously since joining in 1999.
- Nike Inc – Shop Ethical! · archived copy · Fashion Transparency Index 2023: 50%; Ethical Fashion Report 2024: 51/100; KnowTheChain 2023: 48/100 (average 21); overall Shop Ethical rating F.
- Nike CHRB scorecard 2023 – World Benchmarking Alliance · archived copy · Nike scored 14.5 out of 100 in the 2023 Corporate Human Rights Benchmark, with 0 out of 20 for responses to serious allegations.
- Hong Seng fact sheet, December 2025 – Fair Labor Association · archived copy · Investigation May–November 2024 found unpaid 2020 leave and retaliatory dismissals; workers paid in full and dismissed workers compensated with interest by end of 2025.
- Nike ignores unpaid workers' appeal on five year anniversary of factory closure – Clean Clothes Campaign · archived copy · Violet Apparel workers owed US$1.4 million in severance since July 2020; Nike denies a connection.
- Investors press Nike on supply chain workers – Supply Chain Dive · archived copy · WRC documented Violet Apparel making Nike products as a subcontractor 2018–2020; Nike says it has not sourced there since 2006 (2023).
- Nike says China-based supplier sent all Uyghur workers home – Radio Free Asia · archived copy · Nike stated in July 2020 that Qingdao Taekwang stopped recruiting from Xinjiang in 2019 and all remaining Xinjiang employees had returned home.
- 83 companies linked to Uighur forced labor – Campaign for Uyghurs · archived copy · Nike named in ASPI's 2020 report, with Qingdao Taekwang singled out.
Last researched 7 October 2026 · details still being verified. Grades are opinions based on the evidence listed here. Represent this company and think something is wrong? A right-of-reply form is coming soon.