At Nike, we believe that, although there is no finish line, there is a clear starting line.
We have a longstanding commitment to working with suppliers on improving manufacturing conditions and minimizing negative impacts to workers, local communities and the environment. Since we first launched our Code of Conduct in 1992, we have continued to evolve our standards and programs to drive improved outcomes for the workers in the supply chain, communities where our suppliers operate and enhanced value for Nike and our suppliers.
Every supplier must comply with our Code of Conduct and Code Leadership Standards—they are a core component of reaching our 2020 targets. In 2021, we updated our NIKE, Inc. Code of Conduct to better reflect our priorities across labor, health and safety, and the environment, as well as to further align with the expectations of key stakeholders for Nike and our industry, drive supply chain consistency and support our 2025 targets.
The update to our Code of Conduct does not represent a major change in our requirements for suppliers. Rather, we have elevated key expectations from the Code Leadership Standards to the Code of Conduct to emphasize the depth of our work and standards on specifically in targeted risk areas, added additional foreign migrant worker requirements and new construction safety requirements.
The new requirements added to our Code of Conduct and Code Leadership Standards include:
• New requirements that facilities develop an internal Code of Conduct and post it for workers, rather than posting the Nike Code of Conduct, to support our continued journey and expectation of suppliers to fully integrate our standards into their business and own compliance with our standards and local law.
• Elevating key risks of forced labor beyond recruitment fees to include freedom of movement, debt bondage and building sufficient systems to manage employment relationship of vulnerable worker groups like foreign workers
• Strengthen prohibition on use of child labor
• Clarify examples of hazardous work to align with minimum working age
• Elevate requirements around non-retaliation or interference/intimidation to prevent right to freely associate
We expect all our suppliers to share our commitment to respecting the rights of workers—with particular care for the unique vulnerabilities and needs of worker groups, such as women, migrants and temporary workers—and to advancing the welfare of workers and communities. We also expect our suppliers to share in our commitments to reducing waste, using water and applying chemistries responsibly, and working to reduce carbon emissions in line with international climate targets.
These minimum standards are integral to our sourcing strategies and to how we evaluate baseline factory performance. They act as a foundation for determining the suppliers we’ll work with as we grow our business.